A survey by Reuters has revealed that the rise in Nigeria’s crude oil production in December 2021 and January 2022 has contributed to the increased oil output of the Organization of Petroleum Exporting Countries(OPEC) through shipments from Forcados crude in the months surveyed.
Although Nigeria’s long-term crude oil output declined by 253%, making the country fail to meet its OPEC monthly quota of 1,683,000 bpd, the country recorded oil production increase after a force majeure was lifted.
Nigeria’s crude oil production rose by 50,000 bpd, making the country’s monthly output to grow from 1.41 million bpd in December 2021 to 1.46 million bpd in January 2022.
Reuters’s oil production survey was derived from data it retrieved from Nigeria’s Agbami and Egina streams. According to the report, OPEC output in January 2022 increased by 210,000 bpd. The report stated that compliance with OPEC cuts stood at 132% in January as against 127% recorded in December 2021.
The survey however indicated that some producers’ struggle to pump more crude oil into OPEC even as prices trade at a seven-year high. Analysis showed that OPEC pumped 28.01 million bpd in January, which showed a rise by 210,000 bpd from the previous month but short of the 254,000 bpd increase allowed under the organization supply deal.
Note that Reuters’ survey was aimed at tracking supply to the oil market and is based on shipping data provided by external sources, Refinitiv Eikon flows data, information from tanker trackers such as Petro-Logistics, as well as information provided by sources at oil companies, OPEC and consultants.
By Sunday Elom
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