Uche Cecil Izuora
Nigeria’s oil production has been recovering in recent months and hit its highest level for 2024 in November with a total of 1.7 million barrels per day (bpd) of crude oil and condensate output, the latest data from the upstream regulator showed.
Nigerian production of crude oil and condensates rose in November by 13.3% compared to the 1.5 million bpd output in the same month of 2023, according to data from the monthly output report by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC).
However, the Organisation of Petroleum Exporting Countries, OPEC, said Nigeria’s oil output, excluding Condensate increased month-on-month, MoM, to 1.5 million barrels per day, bpd, in November 2024, from 1.3 million bpd in October 2024, indicating an increase of 15.3 per cent.
The recent recovery of Nigeria’s oil production, which has risen from 1.5 million bpd earlier this year, is good news for the 2025 budget of the country.
Nigeria’s budget for next year is based on 1.7 million bpd of oil production and oil prices at $75 per barrel.
Last month, Government said it had reached an output of 1.8 million bpd and said it could even hit 2 million bpd by the end of the year.
The Nigerian National Petroleum Company Limited (NNPCL) had declared a state of emergency on production in Nigeria’s oil and gas industry.
The NNPCL believes that Nigeria needs to take urgent action to address the challenges that have plagued the oil and gas industry for years, NNPC Group CEO Mele Kyari said earlier this year.
Oil theft and pipeline vandalism have long plagued Nigeria’s upstream oil and gas industry, driving majors out of the biggest OPEC producer in Africa and often resulting in force majeure at the key crude oil export terminals.
The recent jump in production to 1.7 million bpd (including condensate) and beyond has been the result of Nigerian authorities ramping up security measures at oilfields to crack down on pipeline theft and sabotages