Nigeria’s Oil Production Rebounds Following March Decline, OPEC Reports
According to the latest data from the Organization of the Petroleum Exporting Countries (OPEC), Nigeria’s daily oil output showed signs of improvement in April, edging up slightly from 1.23 million barrels per day (mbpd) in March to 1.28 mbpd.
OPEC’s Monthly Oil Market Report for May highlighted that Nigeria’s oil production experienced an increase of 50,000 barrels per day last month, reversing a recent downward trend.
In February, the nation’s crude production stood at 1.32 mbpd, dropping to 1.23 mbpd in March before showing signs of recovery in April.
Stakeholders have expressed concerns over revenue losses attributed to declining oil production. Wole Ogunsanya, Chairman of the Petroleum Technology Association of Nigeria, emphasized the need for Nigeria to retain a larger share of the oil and gas value chain to boost its economy.
He highlighted the country’s underproduction by at least 500,000 barrels per day, representing a significant loss.
The Federal Government attributed the decline in oil production to issues with the Trans Niger Pipeline and maintenance activities conducted by oil companies across the country. Efforts are underway to address these issues and restore production levels, aiming to reach up to 1.7 million barrels per day of crude oil and condensates.
Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri, assured Nigerians that measures are being implemented to address the production shortfall. He attributed the decline to issues with the Trans Niger Pipeline and maintenance activities carried out by oil companies, stating that these issues have been resolved, and production is expected to return to previous levels soon.
Lokpobiri emphasized during a recent meeting with stakeholders in Lagos that idle oil wells and licenses would be revoked and transferred to individuals with demonstrated capacity for exploration.
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