Stock photo of an offshore oil rig“Without natural capital accountability GDP growth is meaningless’
By Udeme Akpan, Energy Editor
Nigeria’s oil export has been boosted as Shell Petroleum Development Company, SPDC, resumes oil export at the Bonny Oil and Gas Terminal in Rivers state.
The terminal was shut because of a gross reduction in oil, due mainly to increased pipeline vandalism, oil theft, and illegal refining in the area.
But in a statement obtained by Vanguard, yesterday, the company, stated: “The Shell Petroleum Development Company of Nigeria Limited (SPDC), operator of the SPDC joint venture, has lifted the force majeure on Bonny export programme with effect from Wednesday, March 15, 2023.
“The force majeure was declared on March 3, 2022, following a significant decline in crude receipts at the Bonny Oil and Gas Terminal.”
However, for the second consecutive month, Nigeria’s oil production rose month-on-month, MoM by 3.8 per cent to 1.306 million barrels per day, bpd in February 2023, from 1.258 million bpd recorded in the preceding month of January 2023.
On year-on-year, YoY, however, the nation’s oil output increased by 3.8 per cent to 1.306 million bpd in February 2023, from 1.258 million bp/d recorded in the corresponding period of 2022.
The Organization of Petroleum Exporting Countries, OPEC disclosed this in its March 2023 Monthly Oil Market Report, MOMR obtained by Vanguard, noting that this was based on data obtained from direct communication or sources.
The organization whose report excluded Condensate did not provide factors for the current market trend, but checks by Vanguard pointed to increased operations in the industry.
It further indicated that Nigeria successfully maintained its lead as the highest African oil producer over Angola which followed with 1.064 million bpd while Equatorial Guinea becomes the least with 50,000 bpd.
However, data obtained by Vanguard showed that the nation’s oil production was still constrained by pipeline vandalism, oil theft, and illegal refining in the Niger Delta.
For instance, information obtained from Shell Petroleum Oil Spill Data showed that the company oil spill incidents, due mainly to sabotage increased MoM, by 100 per cent to 12 in February 2023, from six recorded in the preceding month of January 2023.
Also, on YoY, the incidents rose by 33.3 per cent to 12 in February 2023, from nine recorded in the corresponding period of 2022.
In its Briefing Notes also obtained by Vanguard, the company, stated: “The SPDC JV produced 383,000 barrels of oil equivalent in 2021, compared with 497,000 barrels of oil equivalent in 2020. The fall in output was largely a result of curtailed oil production because of heightened security issues, such as crude oil theft and illegal oil refining. Production numbers were also down as a result of divestment action, including the sale of SPDC’s 30% interest in OML 17 for $533 million.”
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