Nigeria’s oil and gas sector recorded a double breakthrough in July 2025: gas flaring dropped to 7.16%, even as daily production climbed to 7.59 billion standard cubic feet per day (BSCFD), according to fresh data from the Nigerian Upstream Petroleum Regulatory Commission (NUPRC).
The regulator described the milestone as proof of progress toward its 2030 zero-flare commitment, noting that the country has managed to raise output while curbing environmental waste.
“The simultaneous growth in output and decline in flaring underscores the Commission’s drive to boost production while advancing its 2030 zero-flare commitment,” NUPRC said in a Saturday statement.
Production on the rise
Gas output has shown steady growth over the past three years. July’s 7.59 BSCFD marks an 8.6% increase compared to 6.99 BSCFD in 2024 and a 9.8% rise over 6.91 BSCFD in 2023.
Despite this expansion, flaring levels have consistently fallen: 7.55% in 2024, 7.38% in 2023, and now 7.16% in July 2025.
Policy push against flaring
NUPRC credited ongoing initiatives such as the Nigerian Gas Flare Commercialisation Programme (NGFCP), a Decarbonisation and Sustainability Blueprint, and the Upstream Petroleum Decarbonisation Template (UPDT), which integrates sustainability into project planning.
Other measures, including promotion of carbon capture and storage (CCS), are also part of efforts to hit emissions targets. In July, the Commission reaffirmed plans to end routine flaring by 2030 and cut methane emissions by 60% by 2031.
Gas-to-Power strengthens
Domestic gas delivery also improved. The Domestic Gas Delivery Obligation (DGDO) hit 72.5% in July, up from 71.8% in June, while Gas-to-Power supply rose 3.5% month-on-month, reaching 862.86 MMSCF/D—the strongest level in three months.
Over the first seven months of 2025, gas-to-power deliveries fluctuated but remained robust, peaking at 886.83 MMSCF/D in March before settling at July’s high.
Contract breakdown
In July, 63% of gas production came from Marginal Sole Risk operators, 24% from Production Sharing Contracts (PSCs), 10% from Joint Ventures (JVs), and 3% from Sole Risk producers.
On utilisation, 35.9% of production went to export, 27.8% supplied the domestic market, while 29.1% was retained for field and plant operations such as reinjection, fuel, and gas lifting.
The global context
Nigeria’s gains come against a mixed international backdrop. The World Bank’s July Global Gas Flaring Tracker Report showed that the country was among the worst offenders in 2024, with a 12% rise in flaring volumes, the second-largest increase worldwide.
Facilities operated by NNPCL and smaller independents were responsible for 60% of Nigeria’s flaring and 75% of the 2024 increase, the report said.
Now, with the July 2025 figures showing real progress, the challenge is whether Nigeria can sustain momentum—turning regulatory promises into consistent results while powering homes, industries, and the broader economy.
