Nigeria Flags Oil Output Rise Ahead Of Debt Deal with Majors

Source: Reuters 12/15/2016, Location: Africa

Nigeria's oil production has risen to close to 1.8 million barrels per day (bpd), oil minister Emmanuel Ibe Kachikwu said ahead of the expected signing of a deal over repayments of $5.1 billion in debt from joint venture projects. Kachikwu is due to sign the deal later on Thursday with oil majors ExxonMobil, Royal Dutch Shell, Eni and Chevron.

Nigeria has struggled with debt to oil majors amid the fall in oil prices over the past two years. It has also been hit by output falls from peak production of 2.2 million bpd as a result of persistent militant attacks in the oil-producing Niger Delta.

The Forcados crude stream, with roughly 300,000 bpd, has been under force majeure since February, and in the third quarter production was roughly 1.63 million bpd, according to the country's statistics office.

The OPEC member nation's fight to regain oil production enabled it to gain an exemption from a recent deal between the group and other oil producers to cut output to support prices.

"I wouldn't worry about (non-compliance) issues," Kachikwu said of the cut plan, adding that "everybody has" the October production figures from which countries agreed to cut. Kachikwu said Nigeria's primary goals for 2017 would be to secure "lasting peace" in the Niger Delta, gain external funding for oil investments and improve its oil refining system.

Nigeria's oil refineries hit peak production for 2016 in October, but it was just 23.53 percent of their capacity, and with output of 210 million litres, only a fraction of the oil products the country needs.

NNPC has been importing as much as 90 percent of gasoline requirements due to a persistent shortage of foreign exchange also brought on in large part by falling oil prices. Kachikwu said that while queues at petrol stations are gone, "there are still foreign exchange issues."


Norway >>  7/6/2022 - A number of fields on the Norwegian Continental Shelf now have revised production licences authorised by the Ministry of Petroleum and Energy (NCS). I...
Australia >>  7/4/2022 - Jadestone Energy plc, an independent oil and gas production company focused on the Asia-Pacific region, provides the following update on operations at...

United Kingdom >>  7/4/2022 - IOG plc, the Net Zero UK gas and infrastructure operator focused on high return projects, has released an updated Investor Presentation incorporating ...
Kuwait >>  6/30/2022 - Dr. Muhammad Abdul Latif Al-Fares, His Excellency the Deputy Prime Minister, Minister of Oil, and Minister of State for Council Affairs, led the State...

Kuwait >>  6/30/2022 - Today, Thursday, the members of the (OPEC +) coalition decided to increase output by 648,000 barrels per day in August. Following the 30th ministerial...
Norway >>  6/30/2022 - The authorities have granted consent to start production from the Nova field in the North Sea. Nova will be developed with two seabed templates, one f...

Related Categories: Camp Building  Cleaning Equipment, Services  Communication  Corrosion Products/Services  Development  Exploration  Food Supplies  General  Labor Services  Land & Leasing  Mine Clearance  Oil & Gas Companies  Production  Service Companies  Skilled Labors  Transportation, 4X4 Trucks  Unskilled Labors  Utility Systems  Waste Disposal  Water Supply Services  Welding Products/Services 

Related Articles: Camp Building  Cleaning Equipment, Services  Communication  Corrosion Products/Services  Development  Exploration  General  Labor Services  Land & Leasing  Mine Clearance  Oil & Gas Companies  Production  Service Companies  Skilled Labors  Transportation, 4X4 Trucks  Utility Systems  Waste Disposal  Water Supply Services  Welding Products/Services 


Gulf Oil and Gas
Copyright 2021 Universal Solutions All rights reserved. - Terms of Service - Privacy Policy.