Nigeria’s Crude Production Falls 1.419mbpd in January – OPEC

The Organisation of Petroleum Exporting Countries report shows that Nigeria’s crude oil production marginally dropped to 1.42 million barrels a day in January 2024.

OPEC’s Monthly Oil Report for February 2024 released Tuesday showed that the country’s oil output dipped by 3,000bpd or 0.21 per cent from 1.422mbpd it produced in December, according to secondary sources.

The Federal Government projected 1.78 million barrels per day in the 2024 budget.

However, the report said that the nation’s oil production rose from 1.33mbpd to 1.42mbpd, based on data obtained through direct communication.

In the 2024 budget, President Bola Tinubu had in the budget proposed that the nation would strive to produce above what it currently produces as crude oil.

The N28.7tn budget depends heavily on crude oil proceeds, which is the major revenue of the Nigerian government.

OPEC disclosed that crude oil output increased mainly in the United Arab Emirates, Saudi Arabia and Venezuela.

It added that the total crude production in the 12 OPEC states averaged 26.34mbpd last month, reducing by 350,000bpd.

“According to secondary sources, total OPEC-12 crude oil production averaged 26.34mb/d in January 2024, lower by 350 tb/d, month-on-month. Crude oil output increased mainly in the UAE, Saudi Arabia and Venezuela, while production in Libya, Kuwait, Iraq and Algeria decreased,” the report said.

On world oil supply, it noted that preliminary data indicated that global liquids production in January decreased by 0.6 mbd to an average of 101.8 mbd compared with the previous month.

“Non-OPEC liquids production, including OPEC natural gas liquids is estimated to have decreased by 0.2 mbd, month-on-month in January to average 75.5 mbd. This is higher by 1.6 mbd, year-on-year.

“Preliminary estimated production decreases in January were mainly seen in the US and other Eurasia and were partially offset by rises in China, Canada and Brazil.

“The share of OPEC crude oil in total global production in January, decreased by 0.2 pp to stand at 25.9 per cent compared with the previous month.”

According to the report, estimates are based on preliminary data for non-OPEC supply, OPEC NGLS and non-conventional oil, while assessments for OPEC crude production are based on secondary sources.