• Saturday, June 15, 2024
businessday logo


Nigeria reclaims top position in Africa as oil output hits 1.28m bpd

Nigeria reclaims top position in Africa as oil output hits 1.28m bpd

Nigeria’s average daily crude oil production rose to 1.28 million barrels per day (bpd) in April, the Organisation of Petroleum Exporting Countries (OPEC) has disclosed.

This is even as the country reclaimed the top position as Africa’s biggest producer.

According to the cartel, the production data was based on direct communication with Nigerian authorities.

OPEC receives data on crude oil production from two sources: direct communication — which is from member countries — and secondary communication, such as energy intelligence platforms.

According to OPEC in its latest monthly oil market report released on Tuesday, the current output signifies a 4.07 percent increase from the 1.23 million bpd recorded in March — also indicating the first month-on-month production growth in the year.

In its recent report obtained by BusinessDay, the Nigerian Upstream Petroleum Regulatory Commission ( NUPRC) presented a similar report, stating that Nigeria’s crude oil output in April rose marginally by four percent to 1.28 million bpd compared to 1.23 million bpd recorded in March 2024.

However, in its latest May Monthly Oil Market Report, OPEC also put Nigeria’s oil output, excluding condensate during the period at 1.28 million bpd, based on information obtained from official sources.

But when information obtained from secondary sources is considered, OPEC maintained that Nigeria produced 1.35 million bpd in April 2024, indicating 3.6 per cent drop from 1.40 million bpd in the preceding month of March.

The report, which noted the output drop in some nations, including Nigeria, stated: “According to secondary sources, total OPEC-12 crude oil production averaged 26.58 mb/d in April 2024, 48 tb/d lower, MoM. Crude oil output increased mainly in Congo and Iran, while production in Nigeria, Iraq and Venezuela decreased.

“At the same time, total non-OPEC DoC crude oil production averaged 14.44 mb/d in April 2024, 198 tb/d lower, m-o-m. Crude oil output increased mainly in Bahrain, while production in Russia and Kazakhstan decreased.”

This showed that despite the battle against pipeline vandalism, oil theft and illegal refining, Nigeria’s output which was benchmarked at 1.70 million bpd, including condensate and $77.96 per barrel in the nation’s 2024 budget, remains relatively low.