Nigeria’s oil production hit 1.35 mbpd in August – OPEC

• Published On: 11 September 2024 at 18:03

Nigeria's crude oil production increased modestly in August, from 1.307 million barrels per day (mbpd) in July to 1.352 mbpd, according to the Organisation of Petroleum Exporting Countries' most recent report.

OPEC's September Monthly Oil Market Report, based on direct communication with the Nigerian government, revealed a 45,000 barrel per day increase.

This reported increase contrasts sharply with recent statements from the federal government. President Bola Ahmed Tinubu announced on August 4 that oil production had increased to 1.6 million barrels per day (mbpd) in July, citing reforms implemented in May to address challenges under the Petroleum Industry Act.

"Our oil and gas industry, which was once in decline, is now thriving thanks to the reforms I announced in May 2024. Last month, we achieved 1.61 million barrels per day of oil production, and our gas assets are also being properly managed', President Tinubu said during a nationwide broadcast.

Similarly, on July 26, Gbenga Komolafe, Chief Executive of the Nigerian Upstream Petroleum Regulatory Commission, informed the House of Representatives Special Committee that daily production had reached 1.61 million barrels per day in July. This statement was made at a public hearing about oil theft and losses.

"As of July 23, 2024, Nigeria's average daily production stands at 1.61 mbpd," Komolafe told reporters.

However, OPEC data paints a different picture. The organization's figures for July show a production rate of 1.30 mbpd, which contradicts the government's claims. This discrepancy demonstrates a significant gap between official statements and reported data. Production had already fallen to 1.25 million barrels per day (mbpd) in May, despite claims from the Nigerian National Petroleum Company Limited that it was approaching 1.7 million.

According to the OPEC report, Nigeria's crude output fell from 1.28 million barrels per day (mbpd) in April to 1.25 million barrels per day (mbpd) in May, representing a 30,000 barrel loss per day. This decline came after a slight recovery in April, when production rose from 1.23 mbpd in March to 1.28 mbpd. Earlier data also show a decrease, from 1.427 mbpd in January to 1.322 mbpd in February.