Nigeria's oil production exhibited a 13.3% year-over-year increase in November 2024, reaching 1.7 million barrels per day (bpd), inclusive of condensate, compared to 1.5 million bpd in November 2023. Furthermore, a 10% month-over-month production increase was observed, rising from 1.5 million bpd in October 2024 to the current level.
The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) reported this as the nation's peak production output for 2024, following an initial 1.6 million bpd (inclusive of condensate) in January 2024, a subsequent decline to 1.5 million bpd, and a subsequent recovery to the reported figures.
Experts view this increase as a positive sign for Nigeria's 2025 budget, which is predicated on an output of 1.7 million bpd and a price of $75 per barrel.
In related news, oil prices saw a decline yesterday as concerns regarding the potential fallout from the overthrow of Syrian President Bashar al-Assad subsided. Brent crude, the global benchmark, decreased by 0.11 percent to $72.06 per barrel, while US West Texas Intermediate crude fell by 0.20 percent to $68.23 as of 09:50 WAT.
Although Syria is not a significant oil producer, its strategic location and connections with Russia and Iran mean that a regime change could lead to increased regional instability, according to a Reuters report.
Future projections indicate a rise in Nigeria's oil production, especially after the finalized Sale and Purchase Agreement between Seplat Energy Plc and Mobil Producing Nigeria Unlimited.
The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) recently approved the transfer of ExxonMobil's onshore assets to Seplat Energy, and reported October 2024 oil production, inclusive of condensate, at 1.8 million barrels per day, surpassing OPEC's quota.