Ibekimi Oriamaja Reports.
For the third straight month, Angola produced more crude oil than Nigeria did, despite Nigeria’s largest economy losing 74,000 barrels per day in July compared to June.
Despite a rise in Nigeria’s output, Angola produced more crude oil in May and June.
According to direct communication and the OPEC monthly report for July, Nigeria’s oil production fell from 1.26 million barrels per day (bpd) in June to 1.08 million bpd in July.
Angola’s oil output, meanwhile, increased to 1.18 million bpd in July from 1.17 million bpd in June.
In addition to using secondary sources to track its oil production, OPEC also publishes a table of data provided by its member nations.
Even while Angola’s production also decreased in July, it still outperformed Nigeria in terms of the number of barrels drilled, making Nigeria’s loss in production the second-largest among its OPEC counterparts.
According to the oil cartel, production of crude oil decreased in Venezuela and Angola while rising mostly in Saudi Arabia, the United Arab Emirates, and Kuwait.
For the third time since April, OPEC has lowered its projection for the rise of global oil demand in 2022, citing the financial effects of Russia’s invasion of Ukraine, high inflation, and initiatives to prevent the coronavirus epidemic.
However, the International Energy Agency (IEA), a consultant to industrialized nations, revised its projection for demand growth in 2022 in opposition to OPEC’s position.
According to OPEC’s monthly report, oil demand is expected to increase by 3.1 million barrels per day (bpd), or 3.2%, in 2022, down 260,000 bpd from the previous prediction. The IEA increased their projection from 2.1 million bpd to 380,000 bpd.
Even after prices reached record highs, oil consumption has recovered from the worst of the epidemic and is expected to surpass 2019 levels this year. However, OPEC’s growth predictions for 2022 have been impacted by high pricing and coronavirus outbreaks in China.
OPEC stated in the study that “global oil market fundamentals continued their impressive return to pre-COVID-19 levels for most of the first half of 2022, despite the fact that signs of slowing growth in the global economy and oil demand had appeared.”
The international oil cartel lowered its projection for global economic growth in 2022 from 3.5% to 3.1% and 3.1% for the following year, noting that there was still a chance of more deterioration.
“However, when compared to pre-pandemic growth levels, this is still healthy growth. Therefore, it is clear that there is a big negative risk,” the OPEC added.
Following the publication of the OPEC report, oil prices maintained an earlier advance, finding support in the IEA’s assessment of demand and trading above $98 per barrel throughout the weekend.
OPEC and its partners, which include Russia and are referred to as OPEC+, are increasing oil production after imposing unprecedented cuts as the epidemic took root in 2020.
