Nigeria crude oil production drops to 2.3 million barrels per day (mbpd) compared with the projected estimate of 2.48mbpd
April and May to average about 2.2mbpd
Nigerian National Petroleum Corporation (NNPC) yesterday announced a drop in crude oil revenue of about $1.23 billion (N191 billion) due to a drop in crude oil production for the first quarter of 2013.
Announcing the drop in crude production in a statement last night, the acting Group General Manager, Public Affairs Division, at the corporation, Tumini Green, said daily crude oil production, which had stabilised at 2.4mbpd, has fluctuated between 2.1 and 2.3 million barrels per day (mbpd) compared with the projected estimate of 2.48mbpd.
Green explained that the fall between actual production and forecast in first quarter 2013 had resulted in a drop in crude oil revenue of about $1.23 billion (N$191 billion) that should have accrued to the Federation Account.
She further explained that the NNPC/SPDC JV recently declared a force majeure on Bonny Crude due to incessant crude oil theft, which had resulted in the shut in of 150,000 bpd.
“Investigations showed that 53 break points were discovered along the 97km Nembe Creek Trunkline. Repair work is expected to last about six weeks.
This will further reduce our April and May monthly average to about 2.2mbpd and further decrease crude oil revenue by about $554.0 million (equivalent to N83billion) that should have accrued to the Federation Account.
Green, however, assured that the maintenance work would have minimal effect on gas supply to domestic market.
“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, she said, adding that crude theft and pipeline vandalism continue to degrade the environment, increase operational costs, impact negatively on the image of the country and of course, reduces revenue accruable to the nation. She appealed to all stakeholders to cooperate with the corporation as it strives to eliminate this menace.