Nigeria’s crude oil production volume for February 2023 grew month-on-month by 3.83% (1.85% in January) to 1.31mbpd (without condensates) and 3.57% m/m to 1.55mbpd (with condensate). Based on data from the National Upstream Petroleum Regulatory Commission (NUPRC), the increase in volume was largely driven by increases in the production volumes from both the Brass and Bonny oil fields. On the other hand, Qua Iboe and Forcados terminals recorded declines in volume by 12.50% and 0.33% respectively. As earlier noted, the sustained upbeat in crude oil production volume bodes well for the economy as we expect the NNPC Limited and the Federal Government to sustain the pipeline surveillance and clampdown on oil bunkering. Hence, we continue to anticipate some respite in the fiscal space amidst relative stability of the international crude oil price in 2023.
At the Bonny terminal, average daily production volume increased to 0.08mbpd (0.10mbpd with condensates) in February 2023 from 0.05mbpd (0.7mbpd with condensate) recorded in January 2023. At the Brass terminal, total production volume increased month-on-month by 19.97% to 0.033mbpd in February 2023 from 0.025mbpd recorded in January 2023. Production at Forcados terminal increased month-on-month by 1.28% to 0.25mbpd (0.27mbpd with condensates) in February 2023 from 0.22mbpd (0.24mbpd with condensates) recorded in January 2023. However, Forcados terminal contributed the highest (7.54 million barrels) to total volume while Qua Iboe terminal ranked next with a total of 4.18 million barrels in February 2023.
Following the recent clampdown on crude oil theft and pipeline vandalism, the country’s crude oil production volume started to increase in October 2022 after a steady decline from 1.4mbpd in January 2022. At 1.69mbpd (inclusive of condensates) budgeted for 2023, the total expected volume for January and February was 99.71million barrels while the actual total volume produced was 89.66 million b
arrels (with condensates). Consequently, there was a shortfall of 10.05 million barrels. We remain hopeful that the current efforts of the Federal Government at curbing crude oil theft and pipeline vandalism will be sustained hence, we continue to expect a positive impact on the Crude Oil GDP in 2023