Oil Revenue Fell by N500bn in January – Report

Nigeria lost a total of N500bn in revenue in January as a result of low crude oil production in January.

Shipping data obtained from Refinitiv Eikon, a company that tracks export flows, showed that the country’s production has yet to fully recover, as it exported 1.2 million barrels per day as against the 1.6 million barrels per day quota assigned to it by the Organization for the Petroleum Exporting Countries.

An export of 1.2 million barrels per day brings January’s total export to 37.2 million barrels, as against 49.6 million expected if it had exported 1.6 million barrels per day.

Nigeria’s crude grade, Bonny Light, sold for $89 per barrel in January- +1 above Brent International, which was sold for $88 per barrel.

This means that the country may have raked in N1.5tn from the production of 37. 2 million barrels exported in January as against expected N2tn revenue if it had met OPEC’s production.

The development means the country lost about N500bn over its failure to meet OPEC’s 1.6 million barrels per day quota.

February 07, 2023