Daily oil production in Nigeria has increased to 1.42 million barrels per day over the last month, according to the Organization of Petroleum Exporting Country’s monthly report for March.
Africa’s largest economy recorded the biggest increment in crude oil production in February among its peers in OPEC.
OPEC’s monthly oil market report for March reported that Nigeria’s oil production increased by 63,000 barrels to 1.42 million BPD in February.
Secondary sources also stated that the country produced 1.49 million BPD in February, up by 161,000 barrels from 1.33 million BPD in January.”
Furthermore, the secondary sources said the Organization of Petroleum Exporting Countries overall crude oil production averaged 24.85 million BPD in February 2021, down by 0.65 million BPD month-on-month.
The oil group also said that crude oil output increased mainly in Nigeria, Libya, Venezuela, Iraq, and Iran IR, while production declined primarily in Saudi Arabia and Angola.
The report also noted that as the coronavirus pandemic had a major adverse effect on the oil market balance, OPEC, together with its non-OPEC partners in the Declaration of Cooperation, took an important action to help stabilize the oil market.
The group said the practical stance turned out to be a very vital element in enhancing global economic growth, after an estimated decline in oil demand of 9.6 million bpd in 2020.
Oil demand is predicted to rebound in 2021, growing by 5.9 million BPD. However, 2021 demand growth will not be able to compensate for the major shortfall from 2020, as mobility is predicted to remain impaired throughout 2021.
The group also said non-OPEC supply is likely to have declined by 2.6 million bpd last year, while the growth of 0.95 million bpd is anticipated for this year.
However, the group also said that though the impact of COVID-19-related developments remains undefined, continued joint global policy action from all market members, including the efforts carried out by OPEC and the participating non-OPEC producers of the Declaration of Cooperation, will nevertheless, continue to be relevant over the coming months to return markets to more stable conditions.
Earlier this month in the group’s 14th meeting on March 4, OPEC and its allies had agreed to extend oil cuts by one month into April.
During the meeting, the group extended special thanks to Nigeria for achieving full conformance in January 2021 and compensating its entire overproduced volumes.
