Nigeria’s average daily crude oil production rose slightly to 1.307 million barrels per day (mbpd) in July, according to a report from the Organisation of the Petroleum Exporting Countries (OPEC) released on Monday. This figure contrasts with claims by President Bola Tinubu and Gbenga Komolafe, Chief Executive of the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), who stated that production had reached 1.6 mbpd.
OPEC’s Monthly Oil Market Report for August 2024 indicates that Nigeria increased its oil output by an average of 30,000 barrels per day from June’s 1.27 mbpd to July’s 1.30 mbpd.
In a nationwide broadcast on August 4, President Tinubu had announced a significant boost in oil production, attributing the increase to reforms implemented in May to address issues in the Petroleum Industry Act. Tinubu claimed that production had surged to 1.61 mbpd and highlighted the return of investors, with over half a billion dollars in Foreign Direct Investments secured since May.
Similarly, on July 26, 2024, Komolafe reported to the House of Representatives Special Committee on oil theft and losses that production had reached 1.61 mbpd as of July 23. This update came shortly after the NUPRC had reported June’s average daily production at 1.27 mbpd.
However, OPEC’s report, based on direct communication from Nigeria, confirmed July’s production at 1.3 mbpd. Secondary sources cited by OPEC suggest that Nigeria’s daily crude production was 1.38 mbpd in July, up from 1.36 mbpd in June.
In May, Nigeria’s production had dropped to 1.25 mbpd, despite Nigerian National Petroleum Company Limited (NNPC) claims of nearing 1.7 mbpd. OPEC data revealed a loss of 30,000 barrels per day from April’s 1.28 mbpd to May’s 1.25 mbpd.
Earlier reports indicated that Nigeria’s oil production had improved in April, rising to 1.28 mbpd from March’s 1.23 mbpd, reversing a decline from February’s 1.32 mbpd. Production had also fallen from January’s 1.427 mbpd to 1.322 mbpd.
The Federal Government remains optimistic about reaching a production target of over two million barrels per day by the end of the year. Mele Kyari, Group Chief Executive Officer of NNPC, expressed confidence in achieving this goal during a recent meeting with maritime stakeholders at the Nigerian Navy Headquarters. Kyari, represented by NNPC Pipeline Managing Director Folorunsho Karim, emphasized the ongoing fight against oil theft and pipeline vandalism, with significant support from the Nigerian Navy. He expressed hope that this progress would continue, aiding in reaching the two million barrels per day target by year-end.