Nigeria Leads as Report Shows Top 5 Oil-Producing Countries in Africa

• A report by the Organisation of Petroleum Exporting Countries (OPEC) shows that Nigeria recorded the largest volume of crude oil produced in March
• The report said that Nigeria’s production averaged about 1.28 million barrels daily in the period under reviewed
• Other countries in Africa with improved crude oil production include Libya, Algeria, Congo and Gabon

Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment, and the economy for over a decade.

Recent data from the Organisation of Petroleum Exporting Countries (OPEC) shows that global oil prediction for 2024 remains the same.

Oil production declined in most OPEC members in Africa during the first quarter of 2024, except for Algeria, Libya, and Congo.

Nigeria leads in oil production

The report says Nigeria produced the most oil for April despite falling short of its output.

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The latest OPEC report for April shows an increase in the price of crude oil, rising by 5.8% every month or $4.90 to an average of $89.12 per barrel.

Oil futures prices rose, with ICE Brent rising by $4.33, or 5.1%, to $89 per dollar and the NYMEX WTO front-month contract increasing by $3.98, or 4.9%, to $84.39 per barrel.

According to reports, OPEC said in April, refinery margins declined as the rebound in refinery processing rates and increased production affected products in the markets.

Oil production declines in April

A survey found that OPEC oil output fell in April, reflecting lower exports from Iran, Iraq, and Nigeria against a backdrop of ongoing voluntary supply cuts by some members agreed with the wider OPEC+ alliance.

Reuters reports OPEC members pumped 26.49 million barrels per day (bpd) this April, down by 100,000 bpd from March's revised total.

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The report stressed that West African sweet crudes declined due to delayed loading in May, poor European demand, and a comparable crude supply grade in Northwest Europe.

Crude oil prices rise in April

Also, during the month, crude oil futures prices rose by 5% compared to the previous month due to more significant risk premiums caused by geopolitical concerns.

OPEC said higher financial flows and a positive view from a positive view from money managers contributed to the rising trend in oil futures.

The global economy has witnessed rising manufacturing activities in emerging economies, with traders remaining optimistic about the crude oil market staying positive.

Top oil producers in Africa

However, the OPEC report highlighted the top-performing countries regarding oil production in April.

Nigeria

According to OPEC, Nigeria’s average daily crude oil increased to 1.28 million barrels daily in the period under review.

OPEC said the report shows a 4.07% increase from the 1.23 million barrels recorded in March 2024.

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Libya

After overtaking Nigeria as Africa’s top producer in February, Libya’s oil production fell in April to 1.28 million barrels daily but increased by 5.8%.

The International Energy Agency (IEA) predicts an increase in Libya’s oil production capacity, reaching about 1.2 million barrels daily in 2028.

Algeria

OPEC data shows that Algeria’s crude output averaged about 909.000 barrels daily in March 2024, an increase from the 908,000 barrels produced in February 2024.

The country recorded its highest crude oil production in 2022, with 1.14 million barrels in April.

Congo

The country recorded a crude oil production increase of 259 BBL/D/1K in April, compared to the 254 recorded in March 2024.

Gabon

The West African country recorded 198,000 barrels of crude oil production in March, an increase of 230,000 barrels per day, or about 60,000 barrels above its quota.

NNPC reports an increase in oil production

Legit.ng previously reported that The Nigerian National Petroleum Company Limited (NNPCL) has announced an increase in Nigeria's oil production.

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According to Mele Kyari, the NNPCL's group chief executive officer, Nigeria now produces 1.7 million barrels per day.

This represents a significant increase compared to the 1.28 million barrels per day reported in April.

Proofread by Kola Muhammed, journalist and copyeditor at Legit.ng

Source: Legit.ng