Nigeria: Nigerian oil production rises in November
Latest reading: Brent crude oil prices averaged USD 73.51 per barrel in November, down 2.3% from October. On 29 November, the commodity traded at USD 73.20 per barrel, unchanged from 31 October. Prices dropped amid cooling tensions in the Middle East.
Turning to production, Nigerian oil output increased to 1.42 million barrels per day (mbpd) in November from 1.40 mbdp in October. That said, production remained below its 10-year average of 1.60 mbpd.
Outlook: Oil output is projected to rise in 2025 from 2024, reaching its highest level since 2020. Rising capacity in the Dangote refinery will boost crude demand in the country, prompting an increase in production. Nonetheless, the country’s production is expected to fall short of its OPEC+ quota of 1.50 mbpd, constrained by the uncertain domestic regulatory environment and a fragile security situation. Renewed turmoil in the oil-producing Niger Delta is a key downside risk.