As oil prices continue to rally, edging closer to $90 a barrel, there are concerns about the country’s capacity to take advantage of higher prices, going by the abysmal production output. Specifically, the MOMR showed that Nigeria’s production in December, based on direct communication, was lower at 1.19 million barrels per day (mbpd) compared to 1.27mbpd recorded in November. Nigeria was expected to produce 1.66 million barrels a day of crude under the OPEC+ agreement for December. Despite a projected, 1.86 million barrels daily oil production in the country’s 2021 budget, Nigeria recorded a deficit of almost 200 million barrels in the first 11 months of 2021, due to production challenges. The group puts global oil demand growth at 4.15mn b/d this year, for a total of 100.79mn b/d.

Source: The Guardian January 19, 2022 16:48 UTC