OPEC: Nigeria retained position as Africa’s largest oil producer in October

Nigeria has retained its position as the largest oil producer in Africa, according to the Organisation of the Petroleum Exporting Countries (OPEC).

In its latest monthly report on Monday, the oil cartel said Nigeria’s oil output increased in October 2023 to 1.351 million barrels per day (bpd) – from 1.347 million bpd in the previous month.

According to the report, in September 2023, Nigeria’s oil output was also the largest in Africa — amounting to 1.347 million bpd, and surpassing Libya and Angola.

OPEC said its data was based on direct communication.

The oil cartel said in October, Nigeria sustained the momentum, even as Algeria produced 961,000 bpd, Angola recorded 1.147 million bpd, and Libya reported 1.188 million bpd.

“Total OPEC-13 crude oil production averaged 27.90 mb/d in October 2023, higher by 80 tb/d, m-o-m,” the oil cartel said.

“Crude oil output increased mainly in Angola, IR Iran and Nigeria, while production in Libya, Saudi Arabia and Kuwait decreased.”

‘NIGERIA’S INFLATIONARY PRESSURE ACCELERATING’

According to the report, in October 2023, inflationary pressure continued to accelerate in Nigeria.

The global oil alliance attributed it to second-round effects after the removal of the petrol subsidy and devaluation of the naira.

“Consequently, the pace of inflation rose from September and was considerable. The inflation rate jumped to 26.7% in September, up from August’s 25.8%,” OPEC said.

“The annual core inflation rate, which excludes farm produce, climbed further to 22.1% in September, compared with 21.2% in August.

“On a monthly basis, consumer prices rose by 2.1% in September, following a 3.2% surge the prior month.

“Yet, recent data indicate unemployment decreased to 4.1% in 1Q23 from 5.30% in 4Q22. The unemployment rate in Nigeria averaged 4.16% between 1991 and 2023.”

OPEC said the Stanbic IBTC Bank PMI, which highlights the private sector business conditions, dropped to 49.1, down from September’s reading of 51.1 — reflecting a challenging situation in the economy.