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‘Nigeria lost 25 million barrels of crude in March’



  • ‘Nigeria lost 25 million barrels of crude in March’

About 25 million barrels of crude oil were shut-in at four production terminals within one month as a result of various challenges at the terminals.

Specifically, the Forcados, Qua Iboe, Bonny and Bonga oil production terminals shut-in millions of crude in March 2017 due to challenges like force majeure, poor pipeline integrity, leaks or turn around maintenance.

Officials of the Nigerian National Petroleum Corporation told our correspondent in Abuja on Monday that the challenges were the key inhibiting factors that dragged crude oil production performance in March and other months.

The PUNCH had reported exclusively that the total volume of crude oil produced in Nigeria had been reducing since January this year, leading to a cumulative loss of about N131.8bn in less than three months.

The latest industry data from the national oil firm showed that the force majeure declared at the Forcados terminal since February 21, 2016 was still in place up till March this year, while about 314,687 barrels per day of crude was shut-in in March 2017 due to the continuous shutdown of the 48-inch crude export line.

This implies that about 9,755,297 barrels of crude was shut-in at the Forcados terminal in March 2017 alone as a result of the force majeure at the terminal.

A force majeure is a standard clause that exempts the parties to a contract from fulfilling their contractual obligations for causes that cannot be anticipated and/or are beyond their control.

At the Oua Iboe terminal, the NNPC said, “Some production wells remained shut-in since February 2017 at Ubit 131J for gas curtailment and Usari FC wells for QIT Tank top management due to some pipeline integrity issues.”

It stated that an average of 220,000bpd was shut-in throughout the month of March 2017 at the terminal. This means that an average of about 6,820,000 barrels was shut-in at the terminal in the month.

For the Bonny terminal, the corporation stated that the Trans Niger Pipeline was shut down on March 15, 2017 as a result of a leak at the Oloma axis, adding that this resulted in a shut-in of about 129,255bpd for seven days.

Production began ramping up on March 21, 2017 after repair works were completed at the terminal.

Calculations showed that the estimated total volume of crude that was shut-in during the seven-day period at the terminal was about 904,785 barrels.

CEO/Founder Investors King Ltd, a foreign exchange research analyst, contributing author on New York-based Talk Markets and, with over a decade experience in the global financial markets.


NNPC Supplies 1.44 Billion Litres of Petrol in January 2021



Petrol Importation -

The Nigerian National Petroleum Corporation (NNPC) supplied a total of 1.44 billion litres of Premium Motor Spirit popularly known as petrol in January 2021.

The corporation disclosed in its latest Monthly Financial and Operations Report (MFOR) for the month of January.

NNPC said the 1.44 billion litres translate to 46.30 million litres per day.

Also, a total of 223.55Billion Cubic Feet (BCF) of natural gas was produced in the month of January 2021, translating to an average daily production of 7,220.22 Million Standard Cubic Feet per Day (mmscfd).

The 223.55BCF gas production figure also represents a 4.79% increase over output in December 2020.

Also, the daily average natural gas supply to gas power plants increased by 2.38 percent to 836mmscfd, equivalent to power generation of 3,415MW.

For the period of January 2020 to January 2021, a total of 2,973.01BCF of gas was produced representing an average daily production of 7,585.78 mmscfd during the period.

Period-to-date Production from Joint Ventures (JVs), Production Sharing Contracts (PSCs) and Nigerian Petroleum Development Company (NPDC) contributed about 65.20%, 19.97 percent and 14.83 percent respectively to the total national gas production.

Out of the total gas output in January 2021, a total of 149.24BCF of gas was commercialized consisting of 44.29BCF and 104.95BCF for the domestic and export markets respectively.

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NNPC Says Pipeline Vandalism Decrease by 37.21 Percent in January 2021




The Nigerian National Petroleum Corporation (NNPC) said vandalisation of pipelines across the country reduced by 37.21 percent in the month of January 2021.

This was disclosed in the January 2021 edition of the NNPC Monthly Financial and Operations Report (MFOR).

The report noted that 27 pipeline points were vandalised in January 2021, down from 43 points posted in December 2020.

It also stated that the Mosimi Area accounted for 74 percent of the total vandalised points in Janauray while Kaduna Area and Port Harcourt accounted for the remaining 22 percent and 4 percent respectively.

NNPC said it will continue to engage local communities and other stakeholders to reduce and eventually eliminate the pipeline vandalism menace.

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Nigeria’s Food Inflation Hits 22.95 Percent in March 2021



food storage

Food inflation in Africa’s largest economy Nigeria rose by 22.95 percent in March 2021, the latest report from the National Bureau of Statistics (NBS) has shown.

Food Index increased at a faster pace when compared to 21.70 percent filed in February 2021.

Increases were recorded in Bread and cereals, Potatoes, yam and other tubers, Meat, Vegetable, Fish, Oils and fats and fruits.

On a monthly basis, the food sub-index grew by 1.90 percent in March 2021. An increase of 0.01 percent points from 1.89 percent recorded in February 2021.

Analysing a more stable inflation trend, the twelve-month ended March 2021, showed the food index averaged 17.93 percent in the last twelve months, representing an increase of 0.68 percent when compared to 17.25 percent recorded in February 2021.

Insecurities amid wide foreign exchange rates and several other bottlenecks that impeded free inflow of imported goods were responsible for the surged in prices of goods and services in March, according to the report.

The Central Bank of Nigeria-led monetary policy committee had attributed the increase in prices to scarcity created by the intermittent clash between herdsmen and farmers across the nation.

However, other factors like unclear economic policies, increased in electricity tariffs, duties, subsidy removal and weak fiscal buffer to moderate the negative effect of COVID-19 on the economy continue to weigh and drag on new investment and expansion of local production despite the Federal Government aggressive call for improvement in domestic production.

Nigeria’s headline inflation rose by 18.17 percent year-on-year in the month under review.

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