By Milcah Tanimu

Nigeria experienced a slight reduction in crude oil production in January 2024 compared to December 2023 figures, as revealed by the Organisation of Petroleum Exporting Countries (OPEC).

According to secondary sources cited by OPEC’s Monthly Oil Report released in February 2024, Nigeria’s crude production decreased from 1.422 million barrels per day (mbpd) in December to 1.419 mbpd in January, representing a decline of 3,000 barrels per day.

However, data obtained through direct communication indicated a rise in Nigeria’s oil production from 1.33 mbpd to 1.42 mbpd.

The report highlighted that crude oil output witnessed increases primarily in the United Arab Emirates, Saudi Arabia, and Venezuela, while total crude production among the 12 OPEC states averaged 26.34 mbpd in January, marking a reduction of 350,000 bpd.

OPEC noted that global liquids production in January decreased by 0.6 million barrels per day to an average of 101.8 mbpd compared with the previous month. This decrease was primarily observed in the US and other Eurasian regions but partially offset by rises in China, Canada, and Brazil.

Furthermore, the share of OPEC crude oil in total global production decreased to 25.9 percent in January, down by 0.2 percentage points from the previous month.

Nigeria’s current oil output falls below the nation’s 2024 budget target of 1.78 mbpd, upon which the country heavily relies for revenue.

In contrast, Nigeria’s crude oil production had risen to 1.418 mbpd in December 2023, as reported by OPEC in its Monthly Oil Market Report for January 2024. This marked an increase of 100,000 bpd from November’s figure, according to secondary sources.