According to oil cartel reports, Nigeria’s crude oil production increased by 171,000 barrels per day, rising to 1.27 million barrels per day in May 2023. The Organization of the Petroleum Exporting Countries (OPEC) accelerated its efforts to tighten oil markets in May as some of the group’s largest members cut production sharply as planned.
In its monthly market report released on Tuesday, OPEC said production in its 13 member countries fell by 464,000 barrels per day to 28.07 million barrels per day, citing data from independent data providers. bottom. The decline suggests that group members are largely keeping to their April promises to cut overall production.
The group, and a group of Russian-led allies collectively known as OPEC+, pledged to cut oil production by about 1.1 million barrels per day, but Russia will extend its already announced cut of 500,000 barrels per day. Announced. In any event, the group of oil producers largely left their outlook for global oil supply and demand unchanged.
That means the group continues to expect demand to surge in the second half of the year while supply will not keep up, raising prospects for higher oil prices.
OPEC expects global oil demand to increase by 2.3 million barrels per day to 101.91 million barrels per day this year, while non-OPEC oil supply is expected to increase by 1.4 million barrels per day to 72.61 million barrels per day. are doing.
The Group also expects no significant change in its forecast for global economic growth, which remains at 2.6% this year. China’s economy is expected to grow 5.2% in 2023, while the euro zone’s economy is expected to grow by 0.8%, unchanged from previous forecasts. The exception is the US economy, which OPEC said it expects to grow 1.3% this year, compared with last month’s forecast of 1.2%.
A secondary OPEC source said Saudi Arabia cut crude oil production by 519,000 bpd in May to 9.98 million bpd. The UAE also cut production by 140,000 barrels per day in May 2023 to 2.89 million barrels per day.
Kuwait cut production by 95,000 barrels per day to 2.56 million barrels per day. However, Iraq increased production by 22,000 barrels per day in the same month to 4.14 million barrels per day. Algeria cut production by 36,000 barrels per day to 974,000 barrels per day. Nigeria increased production by 171,000 barrels per day to 1.27 million barrels per day. Overall, OPEC has left its forecast for global oil demand growth in 2023 at 2.3 million barrels per day.
