Nigeria reclaims spot as Africa’s largest oil producer 

Nigeria reclaims spot as Africa's largest oil producer

After eight months, Nigeria has reclaimed its spot as Africa’s largest oil producer, edging out Angola by a few thousand barrels per day.

In March 2016, Angola overtook Nigeria as Africa’s  largest producer, with a production level of 1.782  million barrels per day, as Nigeria produced on 1.677 million bpd that month.

According to the Organisation of Petroleum Exporting Countries (OPEC) monthly oil report for December 2016, Nigeria pumped 1.782 million barrels per day while Angola produced 1.688 million barrels per day.

Ibe Kachikwu, minister of state for petroleum resources, had initially said Nigeria had hit 1.9 million barrels of oil in December 2016.

Nigeria however exported less crude to the Unites States than Angola did in the month under review.

“US imports of Angolan and Nigerian crude increased to 307,000 b/d and 303,000 b/d, respectively, by mid-November,” the report read.

Quoting a Stanbic IBTC report, OPEC said Nigeria’s private sector purchasing managers index (PMI) — an indicator of the economic health of the manufacturing sector — eased in November, 2016

“Following two consecutive quarters of contraction, the economy of Nigeria shrank by 2.3% y-o-y in 3Q16, according to the country’s National Bureau of Statistics. The Stanbic IBTC Bank Nigeria PMI highlighted that contraction in the private sector eased somewhat in November on renewed growth of new orders received.”

The recent OPEC oil output deal, which does not require a cut from Nigeria, shows that the country could ramp up production in 2017 to about 2 million barrels per day.



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