Petroleum Minister affirms Nigeria’s dedication to OPEC regardless of manufacturing cuts

The Minister of State for Petroleum, Heineken Lokpobiri, has reaffirmed the nation’s dedication to the membership of the Organisation of Petroleum Exporting Nations (OPEC) after Angola, Africa’s second-largest oil producer exited the cartel.

Mr. Lokpobiri disclosed this in a assertion on Thursday the place he acknowledged that Nigeria will proceed to interact with the group to handle the nation’s issues.

He mentioned,

• “Our collaboration inside the group stays pivotal in fostering stability and sustainability within the oil market,” Lokpobiri mentioned in an announcement.”
• “We’re resolute in our dedication to OPEC’s aims whereas actively participating with the group to handle issues that resonate not solely inside our nation’s borders however throughout your entire continent.”
• Nigeria was assigned a 2024 manufacturing goal of 1.5 million barrels per day (bpd) however has introduced its intention to exceed this aim by producing not less than 1.8 million bpd.

Backstory

Earlier within the week, Angola introduced its exit from OPEC saying the group not served the nation’s curiosity.

The nation’s power Minister mentioned,

• “We really feel that … Angola presently positive factors nothing by remaining within the group and, in defence of its pursuits, determined to go away,”
• Angola’s manufacturing quota for 2024 was slashed by oil cartels by round 350,000 barrels day by day from 1.46 million bpd to 1.1 million bpd.

Angola’s oil sector has seen low funding leading to low manufacturing. The nation was supplied with a five-month extension to showcase elevated manufacturing capability to 2 exterior consultancies and analysts from S&P World, aiming to keep away from a discount in its quota. Nonetheless, it failed to take action.

OPEC had additionally in its manufacturing quota for 2024 allotted 1.5 million bpd for Nigeria– a drop from the 1.78 million bpd in 2023.

Nigeria has sought a day by day manufacturing quota of 1.8 million barrels because it needs to shore up manufacturing and income from the sector.

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