Nigeria’s Crude Falls To 1.96mbd

Nigeria's crude oil output declined to a six-
month low of 1.96 million barrels per day, mbd,
according to the International Energy Agency,
IEA.
This means that the country is already losing
about 600,000 barrels of its daily production
benchmark of 2.567mbd in the 2013 budget.
The agency attributed the decline to oil theft and
pipeline vandalism which had bedeviled the
industry for a long time.
The IEA report gives credence to the recent
statement by the Nigerian National Petroleum
Corporation, NNPC, which said that 53 break
points were discovered along the 97km Nembe
Creek Trunk line.
"This will further reduce our April and May
monthly average to about 2.2mbpd and further
decrease crude oil revenue by about $554 million
(N83 billion) that should have accrued to the
Federation Account," the corporation said.
"We shall continue to work with relevant
government agencies both at the federal and state
levels; to end this incessant crude oil theft and
pipeline vandalism. We have the potential to meet
the national target of 2.48mbpd if this menace is
eliminated," it added.
However, other oil producing nations among the
Organisation of the Petroleum Exporting
Countries, OPEC fold fared much better.
According to the IEA, Saudi Arabia, OPEC's biggest
producer led the production gainers, with output
jumping by 220,000 bd to a six-month high level
of 9.56 mbd, which was attributed to a seasonal
increase for domestic use to meet peak air-
conditioning needs.
Despite international sanctions over its disputed
nuclear programme, Iran's output edged up
30,000 bd to 2.68 mbd in May.
The IEA estimated that imports of Iranian crude
jumped to 1.39 mbd in May from 835 in April,
which was mostly due to congestion at Chinese
ports at the end of April delaying deliveries until
May.
Another country that recorded increase in
production is Kuwait. Its production edged up to
2.84 mbd. Angolan production edged up to 1.78
mbd, with several fields expected to increase
output to peak capacity within the next year and
other fields to come on line. Also, the United Arab
Emirates, UAE, edged up its output to 2.73 mbd,
while Qatar's was unchanged at 725,000 bd.