Attempts by Federal Government and Nigerian National Petroleum Company Limited to tame oil theft and boost crude production may be yielding low returns, as output plunged to a record low.
Organisation of Petroleum Exporting Countries (OPEC), in a monthly bulletin, released yesterday, said Nigeria’s oil production plunged to 999,000 barrels per day in April, the lowest in the current year.
The most populous black nation has been struggling with production, as oil revenue plummets to a record low. Last year, while revenue from the non-oil sector stood at about 59 per cent, that from the oil sector recorded 41 per cent.
Revenue from this strategic sector had at some point accounted for 90 per cent of Nigeria’s total income. In the 2023 budget, crude oil benchmark was fixed at $75 per barrel, while production stood at 1.69 million barrels per day.Â
Earlier this month, over 20 cargoes, representing about 20 million barrels of crude oil and over $1.7 billion, were stranded, as buyers shun the nation’s product.
According to OPEC, in February, Nigeria pumped about 1.3 million barrels of crude oil, as production went down to 1.2 million barrels in March before wobbling to 999,000 in April.Â
In 2022, while crude oil thieves and vandals took control of Nigeria’s oil output, forcing some operators to record over 90 per cent loss, NNPC awarded pipeline surveillance contracts to ex-militant Oweizude Ekpemupolo, popularly called Tompolo, justifying that the development would help the nation to boost oil production.Â
While Nigeria produced 999,000 barrels per day of oil in April, Angola’s output stood at 1,085 million barrels per day, indicating that Nigeria has again lost its top position to the South African country.Â
