Nigeria Reclaims Position as Africa's Leading Oil Producer, President Bola Tinubu Promises Reforms

• Organization of Petroleum Exporting Countries (OPEC) has revealed that Nigeria has regained the top spot as Africa's crude oil producer in May
• Nigeria's rebound comes after dropping to third position in April when the country produced only 999,000 barrels per day
• President Bola Tinubu has promised several reforms that he hopes will revive Nigeria's economy and further boost oil production

Nigeria has reclaimed its position as Africa's top crude oil producer for the month of May 2023, after recording daily crude oil production of 1.184 million barrels, based on direct communication.

Organization of Petroleum Exporting Countries (OPEC) disclosed this in its Monthly Oil Market Report – June 2023, which covers crude production for May.

Nigeria's oil production

According to the report, Libya fell behind Nigeria after its crude production volume dropped by 52,000 to 1.15 million barrels per day from 1.21 million output the month before.

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During the review period, Angola secured the third spot with 1.11 million barrels per day, up from the previous month’s 1.06 million barrels, Punch reports.

Also on the list is Algeria, which occupied the fourth spot with 962,000 barrels per day. Algeria reported a 37,000 barrels decline in crude output, as the country had reported 999,000 barrels in April.

Also, OPEC uses secondary source data from two PRAs (Platts and Argus), one news agency (Energy Intelligence), one consultant (IHS Markit) and two energy agencies (IEA and EIA) to measure crude oil production.

OPEC revealed that based on secondary sources, Nigeria's crude oil production averaged 1.269 million barrels per day in May.

This represents a 171% increase compared to the production of 1.09 million barrels per day reported by secondary sources in April 2023.

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Global oil production

Meanwhile, OPEC revealed that total global crude oil production stood at 28.06 million barrels per day in May 2023, according to secondary sources, with an increase in production recorded in Nigeria, Iran and Angola.

Saudi Arabia, the UAE and Kuwait reported a decline in their production output, resulting in global production dropping from 28.52 million barrels reported in April.

Tinubu promises oil sector reforms

President Bola Tinubu, during his inaugural speech, promised to revamp the country's oil and gas sectors through extensive partnerships with the private sector, a journey he has already begun by removing fuel subsidy.

Other promised reforms include ensuring that oil production losses recorded in the Niger Delta halt.

Dangote speaks on benefits of his refinery on Nigeria's economy

Meanwhile, in another report, Aliko Dangote shared the positive impact of his new oil refinery on Nigeria's economy

The refinery, located in Lagos, is one of the largest in the world and is expected to be launched on May 22, 2023, by President Muhammdu Buhari.

Some of the benefits expected from the refinery include export savings and the manufacturing of plastics and textiles, among others.

Source: Legit.ng