Nigeria’s efforts to achieve its 2026 crude oil production and revenue targets have suffered a fresh setback following the declaration of force majeure by Esso Exploration & Production Nigeria Limited (EEPNL), an affiliate of ExxonMobil, on crude exports from its Erha deepwater field, placing about 200,000 barrels of oil per day at risk.

The disruption comes at a critical time for the Federal Government, which is relying on higher crude oil production to boost revenue, strengthen foreign exchange earnings and finance key provisions of the 2026 budget.

The Erha field, located on Oil Mining Lease (OML) 133 about 100 kilometres offshore in the western Niger Delta, is one of Nigeria’s largest and most strategic deepwater assets. With a production capacity of about 200,000 barrels per day, it is a significant contributor to the country’s crude oil output and export earnings.

Any prolonged disruption at the field could further reduce Nigeria’s overall oil production, widening the gap between actual output and the government’s production target. Lower production would also mean fewer crude exports, weaker foreign exchange inflows, reduced government revenue and increased pressure on budget implementation.

Responding to a Daily Sun enquiry, an EEPNL spokesperson confirmed that the company declared force majeure after unexpected damage to the floating buoy supporting crude export operations at the Erha Floating Production, Storage and Offloading (FPSO) facility.

According to the company, the equipment damage occurred on July 8, 2026, prompting the declaration of force majeure on crude exports from the field.

“The force majeure was declared due to unexpected equipment damage at the floating buoy supporting export operations at the Erha FPSO on July 8, 2026.

“EEPNL is actively working to restore export operations. Relevant stakeholders have been notified, and regular updates are being provided.

“EEPNL does not wish to speculate on the recovery timeline,” the spokesperson said.

The development comes as Nigeria has been making gradual progress in increasing crude oil production after years of output losses caused by oil theft, pipeline vandalism and underinvestment.

Industry analysts warned that a prolonged outage at the Erha field could reverse recent production gains, undermine investor confidence in Nigeria’s upstream petroleum sector and further constrain government finances at a time when public spending remains heavily dependent on oil revenues.

They noted that beyond the immediate loss in production, any sustained disruption to exports from one of the country’s key deepwater assets could also affect Nigeria’s foreign exchange earnings and complicate efforts to meet fiscal and economic targets for 2026.