Nigeria has to surrender its status as Africa’s biggest oil producer to Libya since its last month’s crude oil production was decreased due to ongoing supply disruptions, according to a report released by the Organization of the Petroleum Exporting Countries.
Nigeria told OPEC that its oil production fell to around 1.23 million barrels per day last month from about 1.25 million barrels per day (bpd) in September, based on the latest report released on Wednesday found.
“Crude oil output increased mainly in Saudi Arabia, Venezuela, the UAE, and Kuwait, while production in Nigeria, Gabon and Equatorial Guinea declined,” the OPEC report said.
“However, soft demand from Asian refiners for Atlantic Basin crude amid unfavourable west-to-east arbitrage capped the rise. Crude differentials of Bonny Light, Forcados, and Qua Iboe rose firmly on a monthly average in October by 70¢, $1.06, and 75¢, respectively, to stand at premiums of 10¢/b, 27¢/b, and 4¢/b.”
Libya, which took over Angola as the second-biggest producer in Africa back in December 2020, reported its oil production rise to 1.24 million bpd in October this year from 1.16 million bpd in the previous month based on direct communication, OPEC says.
Responding to OPEC’s latest report, Capital Economics, a London-based research firm, revealed in a note that despite the spike in OPEC’s oil production in October, its total production was below the target of 400,000 bpd.
