Nigeria's Oil Production Reduces by 7% to 1.3m bpd

Nigeria's oil output dropped month-on-month, by seven per cent to 1.3 million barrels per day (bpd) in February 2024, from 1.4 million bpd in January 2024, despite the work put in place by the federal government to increase production.

The Organisation of Petroleum Exporting Countries (OPEC) made this known in its March Monthly Oil Market Report (MOMR).

But on year-on-year, the country's output remains flat as a similarly 1.3 million bpd was also recorded in the corresponding period of 2023.

The report by OPEC however indicated that Nigeria is still the highest African oil producing country while Equatorial Guinea lags behind with 47,000 bpd.

An expert, who spoke anonymously, stated that Nigeria's overall output could be about 1.6 million bpd as the nation has the capacity to produce between 300,000 and 400,000 bpd of condensate, a light crude that attract equally high price like Bonny Light in the international market.

This means that the situation would not impact negatively on the 2024 budget which was based on 1.78 million bpd and $78 per barrel respectively.

 

 

 

March 13, 2024