Oil Production: NNPC Counts N131.8bn Loss

By Ikenga Chronicles June 26, 2017

Oil Production: NNPC Counts N131.8bn Loss

The Nigerian National Petroleum Corporation(NNPC) said it has lost about N131.8bn from reduced crude oil production from January till date.

A report from the corporation shows about 1.84 million barrels as being produced per day in January this year only to reduce to 1.82mb/d and 1.59mb/d in February and March 2017, respectively.

From January to April 2017, Nigeria’s total volume of crude and condensate lifting and utilisation dropped by 3.55 million barrels with the value of this drop at $431m or N131.8bn, using the official exchange rate of N305.85 to a dollar.

According to its March 2017 report, which read in part, “In February 2017, crude oil production in Nigeria decreased to 1.82mb/d, which represents 1.05 per cent decrease relative to the January 2017 production and lagged behind the February 2016 performance by 10.97 per cent.”

In its latest report for April, which was released last week in Abuja, the national oil firm said, “In March 2017, crude oil production in Nigeria decreased to 1.6mb/d, which represents 12.04 per cent decrease relative to the February 2017 production and lagged behind the March 2016 performance by 18.32 per cent.”

Meanwhile, the NNPC still insists that effect of the positive discussions between the Federal Government and militants in the Niger Delta on crude production has not been felt.

It said, “The continuous engagement of the Federal Government with the militants has continued to enhance production. Issues that still dragged production during the period include incessant deferred production due to leakages in Trans Niger Pipeline and Nembe Creek Trunk Line and leakages/low well head pressure at Qua-Iboe Terminal.

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