By Daniel Edu
Nigeria’s oil earnings saw a substantial boost of over N273.8 billion in September 2023, thanks to a surge in crude oil production by industry operators.
An analysis of the most recent data sourced from the Nigerian Upstream Petroleum Regulatory Commission revealed that Nigeria extracted 40,396,863 barrels of crude oil (excluding condensates) during the previous month. This figure marked a notable increase compared to the 36,615,125 barrels produced in August, signifying a rise in oil output by 3,781,738 barrels in September.
The average cost of Brent crude for September was reported at $93.72 per barrel, based on data compiled by Thomson Reuters.
With the addition of 3,781,738 barrels in September at an average cost of $93.72 per barrel, Nigeria’s oil revenue surged by more than $354.42 million, equivalent to N273.8 billion, considering an average exchange rate of N772.65 to the US dollar during the review month.
The Minister of State for Petroleum Resources (Oil), Heineken Lokpobiri, disclosed last week that Nigeria’s oil production had risen to approximately 1.7 million barrels per day, up from the 1.1 million barrels per day recorded in August of the same year.
Lokpobiri attributed this increase in crude oil and condensate production to the government’s concerted efforts and the collaboration of industry operators in identifying and addressing production-related challenges.
He emphasized, “We have a sole agenda, and it is to increase crude oil production. Once you increase production, there will be more revenue for Nigeria, and that is the solution to virtually all the problems we have in this country.”
He further noted that Nigeria’s heavy reliance on oil revenue for its budgetary needs underscores the significance of increasing crude oil production, even as the non-oil sector continues to thrive.
