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Oil Production Declines Despite Rise In Operational Oil Rigs

Nigeria's Oil Output Dropped To 1.346m Barrels Per Day - OPEC

Despite a decline in the nation’s crude oil production in the same quarter, Nigeria’s number of operational oil rigs climbed by 37.5% in the second quarter of this year.

A massive structure containing equipment for extracting and possibly processing the petroleum and natural gas beneath the seabed is known as an oil rig or production platform.

Nigeria’s operational oil rig count grew from eight in the first quarter of 2022 to 11 in the second, according to the most recent data on the global oil rig count obtained by our correspondent on Friday from the Organization of Petroleum Exporting Countries.

Furthermore, it was noted that the number of operating drilling rigs in the nation had decreased from ten in the third quarter of last year to seven in the fourth quarter of 2021.

However, as research revealed that 11 oil production rigs in Nigeria were operational in April, May, and June of this year, the number grew to eight in Q1 2022 before increasing to 11 in Q2 2022.

However, the increase in Nigeria’s rig count did not result in a gain in crude oil production in the second quarter of this year.

According to OPEC’s most recent oil production figures, Nigeria’s oil production fell by around 14.94 million barrels in the second quarter of this year.

According to the report’s study of OPEC data and the average price of crude in Q2 2022 gleaned from reports on global oil prices, Nigeria’s oil revenues fell by nearly N703.76 billion, or the value of the 14. Ninety-four million barrels of petroleum were lost during the review period.

According to the report, OPEC’s data on crude oil production, based on direct communication from its 13 member countries, showed that Nigeria produced 1.299 million barrels per day in the first three months of this year.

But in the second quarter, this fell to 1.133 million barrels per day, representing a decline of 166,000 barrels per day.

This suggests that the nation could not generate or lose roughly 14.94 million barrels of crude oil during the anticipated 90-day period in Q2 2022. However, this was despite a growth in the number of active oil production rigs in the nation during the same quarter.


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