Nigeria’s crude oil output, including condensate, increased month-on-month (MoM) by 4% to 1.737 million barrels per day (bpd) in January 2025, up from 1.667 million bpd recorded in December 2024, according to the Nigerian Upstream Petroleum Regulatory Commission (NUPRC).
On a year-on-year (YoY) basis, oil production saw a 5.7% increase compared to 1.643 million bpd in January 2024.
OPEC Quota Met, Budget Target Missed
The latest Crude Oil and Condensate Production report from NUPRC, obtained by Vanguard, revealed:
- “Lowest and peak production in January was 1.66 million bpd and 1.79 million bpd, respectively. The average crude oil production was 103% of OPEC quota (1.5 million bpd).”
- “The daily average production in January stood at 1,737,480 barrels per day, comprising crude oil (1,538,697 bpd) and condensate (198,783 bpd).”
Despite meeting the Organisation of Petroleum Exporting Countries (OPEC) production target of 1.5 million bpd, Nigeria fell short of its 2.06 million bpd budget projection, which was based on an oil price benchmark of $75 per barrel.
OPEC Data Shows 6.3% Monthly Growth
The February 2025 Monthly Oil Market Report (MOMR) from OPEC, also obtained by Vanguard, highlighted that Nigeria’s oil output, excluding condensate, increased MoM by 6.3% to 1.539 million bpd in January 2025, up from 1.485 million bpd in December 2024.
On a YoY basis, production rose by 7.8%, compared to 1.427 million bpd in January 2024. OPEC confirmed that Nigeria remains Africa’s top crude oil producer, with Equatorial Guinea ranking last at 62,000 bpd.
Efforts to Achieve 2.06M BPD Target Underway
As part of the government’s strategy to meet the N49.7 trillion 2025 budget target, significant efforts are being made to boost oil production.
NUPRC’s Commission Chief Executive noted that since its establishment in 2021, Nigeria’s rig count has doubled from 16 to 32, reflecting increased upstream activities.
- “This increase reflects ongoing efforts to boost upstream activities and enhance the country’s crude oil production capacity,” he stated, emphasizing Nigeria’s aim to remain competitive in the global oil and gas sector.
Senator Heineken Lokpobiri, Minister of State for Petroleum Resources (Oil), highlighted the government’s commitment:
- “With the presidential directive to ramp up oil production to a sustainable level, the transformation of our oil sector began. President Bola Ahmed Tinubu’s visionary directive became the cornerstone of my commitment and that of my team.”
- “We engaged stakeholders both domestically and internationally to foster partnerships, attract significant investments, and strengthen institutional frameworks, driving the remarkable transformation in the sector today.”
Conclusion
While Nigeria continues to improve its crude oil production, challenges remain in meeting its ambitious budgetary target. The country’s ability to sustain current gains and attract further investment will be crucial in maintaining its position as Africa’s top oil producer.