OPEC: Nigeria’s Crude Production Dropped By 1.2 Million Barrels in April

The Organization of Petroleum Exporting Countries says Nigeria and other OPEC members have been unable to pump the volumes of crude oil that they had approved because of insufficient investment in the oil sector.

OPEC had reported that in April 2022, Nigeria’s oil production plummeted by 40,000 barrels per day, or 1.2 million barrels throughout the month.

According to Reuters, OPEC’s oil output in April fell short of the rise planned by its allies, as declines in Libya and Nigeria offset increases in Saudi Arabia and other top producers.

“Output undershot the pledged hikes from October to March, with the exception of February, according to Reuters surveys, as many producers lack the capacity to pump more crude following insufficient investment, a trend accelerated by the pandemic,” OPEC says.

It says, “As a result, the 10 OPEC members are pumping far less than called for under the deal. OPEC compliance with pledged cuts was 164 per cent, the survey found, versus 151 per cent in March.”

Nigeria is a long-standing member of OPEC, though the country has been failing to meet its crude oil production quota approved by the organisation for months now.

Additionally, the survey noted that OPEC supplied 28.58 million barrels per day in April, up 40,000bpd from the previous month and short of the 254,000bpd increase required by the supply agreement.