Nigeria ignores OPEC, grows oil output to 2.2mbd

Group Managing Director of the Nigerian National Petroleum Corporation, NNPC, Mallam Mele Kyari, weekend, disclosed that Nigeria grew its crude oil output 2.2 million barrels per day in December.

This was in disregard to the deal Nigeria signed with members of the Organisation of Petroleum Exporting Countries, OPEC and some non-OPEC countries to curtail global crude oil output in a bid to address the declining price of crude oil in the international market.

Nigeria had been given a quota of 1.77 million barrels per day, after it enjoyed series of exemption because of many months of sabotage and restiveness in the Nigerian Delta which affected the country’s oil output and revenue base.

According to a report by global energy data company, S&P Global Platts, Kyari, who was speaking at the Atlantic Council Global Energy Forum in Abu Dhabi, stated that Nigeria’s December oil production was 2.2 million barrels per day, while the report noted that Kyari, however, declined to say how much of that was crude and how much was condensate.

The report quoted Kyari as insisting that Nigeria was fully compliant with its quota of 1.77 million barrels per day for crude oil.Kyari explained that OPEC quotas only apply to crude oil production, not condensate, while he disclosed that Nigeria is shifting its upstream work towards natural gas liquids,  NGL, and natural gas, to better comply with its crude production quota under the OPEC+ agreement.

SOURCE: Vanguard