Nigeria witnessed a substantial increase in crude oil production, reaching 1.418 million barrels per day (mbpd) in December 2023, as reported by the Organisation of the Petroleum Exporting Countries (OPEC). The Monthly Oil Market Report for January 2024 revealed that Nigeria’s crude oil production experienced a notable rise of 100,000 barrels per day (bpd) compared to November, based on secondary sources.
According to the report released on January 17, OPEC provided insights into Nigeria’s oil production, citing that, as per direct communication, the nation’s crude oil output in December stood at 1.335 mbpd. This reflected an increase from 1.250 mbpd reported in November.
The report also outlined oil production trends in other OPEC countries. Algeria, Congo, Iran, Libya, Kuwait, Saudi Arabia, and the United Arab Emirates experienced varying degrees of reduction in oil output during the same period.
The report stated, “According to secondary sources, total OPEC-12 crude oil production averaged 26.70 mb/d in December 2023, higher by 73 tb/d, month-on-month. Crude oil output increased mainly in Nigeria and Iraq, while production in Kuwait, Saudi Arabia, and IR Iran decreased.”
Nigeria’s ability to boost its oil production comes despite challenges such as cases of oil theft and the presence of illegal refining sites in the Niger Delta region. In December, the Nigerian National Petroleum Company Limited (NNPCL) outlined plans to achieve a production target of two million barrels of crude oil per day in 2024. The company aimed to significantly surpass its reported production of 1.67 million barrels of oil and condensates at that time, aligning with the 2 mbpd target set by OPEC.
Pius Akinyelure, the Chairperson of the NNPCL Board, shared this ambitious plan, acknowledging that meeting the set target would necessitate a comprehensive overhaul of Nigeria’s security infrastructure. Addressing issues such as pipeline vandalism and deploying effective mechanisms to combat oil theft were highlighted as crucial steps in achieving the production goal.
