Nigeria loses N68bn daily as oil production declines, Libya closes in on number one spot

Libya could become the number one oil-producing country in Africa amid Nigeria’s struggles.

Data from the Organisation of Petroleum Exporting Countries (OPEC) Monthly Oil Market Report (the “MOMR”) shows Nigeria’s production level declined again in February while Libya increased its production by 56% to take advantage of the Russia-Ukraine war.

Nigeria through secondary sources reported a decline to an average of 1.417 million barrels per day in February 2022.

This indicated a decrease of 10,000 barrels per day when compared to the 1.427mb/d produced averagely in the month of January 2021.

While on direct communication, Nigeria’s oil production level drop from 1.399 million per barrel recorded in January to 1.258 million per barrel in February 2022.

Nigeria is expected to pump 1.7 million barrels a day in February, with the average price of oil at $97.13, a total of $165.1 million (N68.6 billion) daily.

READ ALSO: Buhari pledges to take advantage of rising crude oil prices

Libya on the other hand boosted its oil revenue as it pumped 1.220 million per day compared to 1.075 million in January 2022.

Part of the report reads: “According to secondary sources, total OPEC-13 crude oil production averaged 28.47 mb/d in February 2022, higher by 0.44 mb/d m-o-m. Crude oil output increased mainly in Saudi Arabia and Libya, while production in Nigeria and Equatorial Guinea declined.”

However, there was a glimmer of hope as the report showed that Nigeria’s rig count was up by two, pushing the country’s rig count to eight which indicated improved consumer confidence.

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