Nigeria, Iraq, and Kuwait kept to their promise of adhering to production cut as they lowered their crude oil supply to the international market since May 2020. There were more limited cuts by Saudi Arabia, the UAE, and Angola.
Nigeria had earlier been accused of not compliance with the general agreement for daily production that had been agreed upon by OPEC+.
The Nigerian Government while reacting to this development in a statement issued by the Minister of State for Petroleum, Timipre Sylva, on behalf of the Federal Government, said: “It was noted. Nigeria will adhere to the output cut in order to rebalance and stabilize the global oil market.”
The country join OPEC+ to cut supply by up 10 million barrels per day between May and June 2020, 8 million barrels per day between July and December 2020, and 6 million barrels per day from January 2021 to April 2022, respectively.
Nigeria is now be producing 1.412 million barrels per day, 1.495 million barrels per day, and 1.579 million barrels per day respectively for the corresponding periods in the agreement; as against the 1.829 million barrels per day of dry crude oil that was the reference production in October 2018. This is in addition to condensate production of between 360-460 barrels per day of which are exempted from OPEC curtailment.
Source: Business Day