Nigeria Crude Oil Production Averaged 1.451 mbpd in September -OPEC

Nigeria Crude Oil Production Averaged 1.451 mbpd in September -OPEC

The Organisation of the Petroleum Exporting Countries (OPEC) says Nigeria’s crude oil production averaged 1.451 million barrels per day (mbpd) in September 2021.

OPEC made this known in its Oil Market Report for October 2021 amidst the global energy crisis. Oil prices have maintained an uptrend amidst stronger demand as the global economy continues the process of healing from the pandemic outbreak in 2021.

Though threat remains but the availability of covid-19 vaccines, to a greater extent, has doused pressures from the lockdowns witnessed last year.

According to the OPEC report, the current figure translates to an increment of 156 barrels per day when compared to the 1.296 million barrels per day produced averagely in the month of August 2021.

It also noted that Nigeria’s non-oil economic activities grew despite the lingering effects of the current COVID-19 wave.

The report said: “The Stanbic IBTC Bank Purchasing Managers’ Index (PMI) edged up to 52.3 in September from 52.2 in August, remarking the 15th consecutive monthly expansion.

“Yet labour market pressures continued to be a concern.

“Recently released National Bureau of Statistics data indicated that the unemployment rate increased to 33.30 per cent in fourth quarter 2020 from 27. 10 per cent in second quarter 2020.”

It, however, said both consumer and business confidence has increased, driven by the overall positive sentiments related to the easing of COVID-19 restrictions and rising commodity prices.

OPEC lowers growth forecast for global oil demand

In a related development, in the current year, global demand for crude oil is expected to increase by an average of 5.8 million barrels per day, according to OPEC’s monthly report.

Previously, OPEC experts had expected a growth of 5.96 million barrels. It now assumes that 99.82 million barrels per day will be needed worldwide in the fourth quarter.

As a reason for the somewhat lower growth forecast, OPEC experts pointed to lower consumption data than expected in the first nine months of the year.

Stronger demand is not expected again until the last quarter of the year, with the experts pointing to the petrochemical industry and higher demand for heating oil.

Recently, oil prices worldwide have risen sharply and have reached multi-year highest levels above the $80 dollar per barrel mark. The reasons given for the price increase are insufficient to supply.

Oil has also become more expensive in the wake of rising prices for natural gas.

In spite of the rising oil prices, the oil states in the OPEC+ group, an alliance between OPEC and other producers led by Russia and Saudi Arabia, have agreed to raise its daily production by 400,000 barrels in November as planned.

The oil market had previously speculated on a stronger increase in production #Nigeria Crude Oil Production Averaged 1.451 mbpd in September -OPEC

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