Crude oil export sale: Nigeria earns over $100m in December 2016

Nigeria has recorded an earning of over $100 million from crude export in December 2016 alone.
According to the Nigerian National Petroleum Corporation (NNPC’s) newly released report for December 2016, obtained by Daily Times, crude oil export sales contributed $100.37 million (or 51.36 percent) of the dollar transactions compared with $96.31 contribution in the previous month”, the report stated.
In same report, the NNPC said it recorded a marked reduction in the cases of pipeline sabotage.
According to the report, only 18 cases of vandalized points on downstream pipelines were recorded in December 2016 as against 43 in the previous month.
The downward trend in the cases of pipeline sabotage, according to the report, was due to sustained engagements with stakeholders by the Federal Government and Corporation.
The report also indicated a 13.4 percent rise in oil and gas sales in December 2016 over sales in November 2016.
A total export sale of $195.40 million was recorded for crude oil and gas in the month under review as against the sum of $166.18 million recorded in November 2016.
“This is $20.22 million higher than the preceding month’s performance. Crude oil export sales contributed $100.37 million (or 51.36 percent) of the dollar transactions compared with $96.31 contribution in the previous month”, the report stated.
The report puts the total export sales of crude oil and gas from January to December 2016 at $2,445,451,363.
The report also indicated that the total export proceeds of $175.04 million for the month of December 2016 was “remitted to fund the JV cash call for the month of December 2016 to guarantee current and future production.”
In the downstream, a total of 1,392,154,486 litres of white products was distributed and sold by the Pipelines and Products Marketing Company (PPMC) in December 2016 compared to 1,248,831,982 litres in November 2016.
According to the report, of the total volume of 12.67 billion litres of white products distributed in 2016, petrol accounted for 88.07 percent.
The report also revealed that about 9,493,640 barrels of crude oil were processed under the Direct-Sales-Direct-Purchase (DSDP) scheme in November, 2016.
Nigeria’s crude export earning booms surfaces as the country recently ramped up its oil output by 9.3 percent, making 1.64 million barrels a day, according to data compiled by Daily Times.
OPEC members not required to cut, added a total of 270,000 barrels a day in January.
Libya increased production to 690,000 barrels a day, the highest level in more than two years.
Iran, which was allowed to continue restoring output to pre-sanctions levels, pumped 3.8 million barrels a day, the most since 2010.
Nigeria’s increase in production comes on the heels of announcement that OPEC had reduced output by 91 percent.
According to Platts, the 10 OPEC countries have achieved a 91 percent compliance rate with the targeted cuts.
OPEC pumped 32.3 million barrels a day last month. Platts is one of the sources used in OPEC’s official secondary sources survey in its monthly oil market reports.
Saudi Arabia, OPEC’s largest producer, led the January cuts with a reduction of half a million barrels a day, going below 10 million.
United Arab Emirates and Kuwait followed by cutting a combined 310,000 barrels a day.
Iraq’s production declined by 120,000 barrels a day to 4.51 million.
Russia, the largest of the non-members, curbed production by 117,000 barrels a day last month. Russia pledged to gradually reduce supply by as much as 300,000 barrels a day, more than half the total non-OPEC pledge for a 558,000-barrel-a-day reduction.