Nigeria: Floods to Cut Crude Oil Production in 2013
From All Africa
By Blessing Anaro
The 2013 budget may have failed the first test with the ravaging floods dragging down crude oil production output to between 2.1 and 2.2 million barrels per day (mbpd) from 2.5 mbpd in the first half of this year.
A weekly report by Afrinvest said the Nigerian National Petroleum Corporation (NNPC) revealed that the country’s oil production dropped from an average of 2.5 mpbd in the first half of this year to between 2.1 and 2.2 mbpd last week as a result of flood and major outage on a Shell facility.
When the federal government presented the budget 2013 budget to the National Assembly recently, local and international analysts were sceptic about the benchmark for crude oil production, saying it was most unlikely target.
They had based their fears on crisis in the Niger Delta which seem to be smouldering, but has the penchant for erupting every now and then.