Trouble For Nigeria's Economy as FG Says it Has Lost Its Most Valued Crude Oil Customer

• The Nigerian government has cried out over the loss of its biggest crude oil customers in the international markets
• The Federal government said that many customers now compete with it in the same oil market as producers
• The country has also lost its status as Africa's biggest oil producer behind Angola, Libya and Algeria

The Nigerian government has cried out over losing its biggest crude oil clients while some of its gas buyers now compete in the same market, according to the federal on Thursday, October 20, 2022.

The federal government also said that international oil firms are shifting focus to alternative fuels and energy sources as the threats by renewable energy is serious gaining traction.

Nigeria's crude oil buyers decline

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The Nigerian government stated this via the Nigerian Midstream and Downstream Petroleum Regulatory Authority at the opening ceremony of the Midstream and Downstream Petroleum Industry HSE Managers; Forum in Abuja.

The Punch report said that the NMDPRA's Chief Executive Officer, Farouk Ahmed, urged operators in the oil sector to try and move along the changing landscape in the global oil industry.

According to him, the number of crude oil buyers from Nigeria had been declining, saying that Nigeria must build its oil and gas sector together to survive the changing landscape.

He said:

"As we speak, some big IOCs fund gigantic research in alternative fuels.

"As sweet as Nigeria's crude is renowned for being global, we have recently lost our most valued customers, and our gas buyers are competing with us in the same marketplace as suppliers.

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Nigeria loses highest oil-producing status in Africa

The development comes as the country has now been relegated to Africa's fourth crude oil producer.

ThisDay reports that Angola, Algeria and Libya have overtaken Nigeria as Africa's highest crude oil producers, according to the October cartel's Oil Market Report (OMR).

The report by the cartel said despite Nigeria's crude oil production peaking at an average of 937,000 barrels per day in September, Angola produced 1.09 million barrels per day, Algeria produced 1.05 million, and Libya produced 1.152 million barrels per day.

NNPC Locates, Shuts down 395 illegal refineries associated with forcados, hints on illegal oil pipeline

Legit.ng reported that the Nigeria National Petroleum Company Limited (NNPC) is putting all its efforts into stopping the monstrous growing oil theft in Nigeria.

According to the company's Chief Executive Officer, Mele Kyari, the firm has discovered and dismantled the operations of about 395 illegal refineries linked to the Forcados, a small town in the Niger Delta.

Kyari said the company had deactivated the illegal refineries, taken down 273 wooden boats, and ruined 374 illegal reservoirs and 1,561 metal tanks.

Source: Legit.ng