Nigeria saw a slight uptick in its crude oil production during April 2024, with a four percent increase to 1.28 million barrels per day, as revealed by data from the Nigerian Upstream Regulatory Commission, NUPRC. This rise from the 1.23mbpd recorded in March occurred despite the government’s endeavors to enhance oil production to meet the 1.78mbpd target set for funding the 2024 budget.
When incorporating condensate oil, the total production reached 1.447 million barrels per day, compared to the 1.438mbpd registered in the previous month. In February and January, production figures with condensate stood at 1.539 million barrels per day and 1.643 million barrels per day, respectively.
Senator Heineken Lokpobiri, the Minister of State for Petroleum Resources, had previously outlined the government’s ambition to achieve a two million barrels per day oil production milestone by the conclusion of 2024. However, he attributed the recent decline in oil production to challenges faced on the Trans Niger Pipeline and maintenance activities conducted by various oil companies operating within the country.
In a statement conveyed by his media aide, Nnemaka Okafor, Lokpobiri assured the public that measures were being implemented to rectify the situation, aiming not only to restore production to previous levels but also to enhance it. He expressed optimism that Nigeria’s oil production, including condensate, which had been around 1.7 million barrels per day before these setbacks, would soon rebound.
Furthermore, the Ministry of Petroleum Resources is actively involved in evolving policies geared towards optimizing the utilization of all available wells in Nigeria. This strategic initiative is intended to bolster production, thereby generating crucial revenue to bolster the nation’s foreign exchange reserves. The additional revenue will empower the government to fulfill its commitments in developing essential infrastructure, as stipulated in the 2024 budget.
The government attributed the industry’s failure to meet Nigeria’s OPEC quota of 1.5 million barrels per day to oil theft and pipeline vandalism. Lokpobiri highlighted the importance of the oil and gas sector in addressing the country’s economic challenges, emphasizing the need to ramp up production, combat oil theft, and reduce pipeline vandalism to bolster revenue generation, stabilize the economy, and support national development efforts.
