Crude Oil: Nigeria Generates N118tn in 53 Years

• Crude Oil: Nigeria Generates N118tn in 53 Years

Nigeria, the largest economy in Africa, has now generated more than N118 trillion from crude oil production and refining since production commenced in 1961, the National Bureau of Statistics report has shown.

The report which comprises of data from Nigerian National Petroleum Corporation evaluated revenue numbers from 1961 to 2014.

According to the report, a total of 32.70 billion barrels of crude oil estimated at N118.49 trillion were produced between 1961 and 2014.

The highest crude production was recorded in 2015 when 918.66 million barrels valued at N6.14 billion were produced.

However, the lowest was in 1961 when crude oil production started in the country, a total of 16.80 million barrels valued at N18.73 million was produced.

Domestic crude oil refining numbers from 1997 to 2014 showed that 844.19 million barrels of crude oil were received and 835.58 million processed within the period.

The report also disclosed that a total gross oil revenue of N362.43 billion was generated in July 2017, up from N254.02 billion recorded in June 2017. Crude oil sales accounted for N188.15 billion of the revenue, while gas sales generated N29.69 billion, the remaining were from rent and gas flared penalties.

In a separate report, the Nigerian National Petroleum Corporation announced it recorded a total export receipt of $471.90 from the sale of crude oil in July 2017. The figure was $252.56 million higher than the $219.34 million recorded in June.

Nigeria is an oil-dependent nation and oil revenue contribute more than 90 percent of its foreign revenue. However, the economic outlook depends on global oil prices and in recent time has plunged the nation into economic recession.

“These are just numbers with little to no impact on citizens,” said Samed Olukoya, a foreign exchange research analyst at Investors King Ltd. The economy needs to be broadened through effective diversification to sustain economic recovery and create jobs, unemployment is currently 14.2 percent while youth unemployment and underemployment is more than 47 percent of working population.”

The Naira remained stable at N363 to a US dollar.