OPEC extends Nigeria’s oil production quota of 1.5m bpd to 2026

The Organisation of Petroleum Exporting Countries (OPEC) has extended Nigeria’s oil production quota of 1.5 million barrels of crude per day (bpd) to 2026.

Speaking in a statement, the intergovernmental organisation said the decision to extend Nigeria’s quote was made at its 38th OPEC and non-OPEC ministerial meeting, held on Thursday.

As part of the resolutions at a meeting on November 30, 2023, the oil cartel increased Nigeria’s production level to 1.5 million bpd for 2024.

On June 2, OPEC extended Nigeria’s production quota of 1.5 million bpd to 2025.

However, on Thursday, OPEC further extended Nigeria’s production level to December 2026.

Consequently, the oil alliance extended the level of overall crude oil production for OPEC and non-OPEC participating countries “in the DoC as agreed in the 35th OPEC and non-OPEC Ministerial Meeting, as per the attached table until 31 December 2026”.

OPEC also extended the assessment period by “the three independent sources” to the beginning of November 2026, to be “used as guidance for 2027 reference production levels”.

‘SAUDI ARABIA, RUSSIA, IRAQ EXTEND VOLUNTARY CUTS’

According to the statement, some member countries of OPEC and its allies, also known as OPEC+, held a virtual meeting on the sidelines of the ministerial meeting.

The countries include Saudi Arabia, Russia, Iraq, the United Arab Emirates, Kuwait, Kazakhstan, Algeria, and Oman.

OPEC said the meeting was conducted to reinforce the “precautionary efforts of OPEC+ countries, aiming to support the stability and balance of oil markets”.

In April 2023 and November 2023,the countries announced additional voluntary adjustments.

The countries decided to extend the additional voluntary adjustments of 1.65 million bpd, announced in April 2023, until the end of December 2026.

The oil cartel said the countries “will extend their additional voluntary adjustments of 2.2 million barrels per day, that were announced in November 2023, until the end of March 2025”.

Additionally, OPEC said the 2.2 million bpd adjustments would be gradually phased out on a monthly basis until the end of September 2026 “to support market stability”.

The oil alliance said the monthly increase can be paused or reversed subject to market conditions.

“In the spirit of transparency and collaboration, the meeting welcomed the pledges made by the overproducing countries to achieve full conformity and resubmit their updated compensation schedule to the OPEC Secretariat for the overproduced volumes since Jan 2024 before the end of December 2024 as agreed in the 52nd Meeting of the Joint Ministerial Monitoring Committee (JMMC),” the international body said.

“The compensation period will be extended until the end of June 2026.”

The global oil body scheduled its next meeting for May 28, 2025.