In this article, we will look through the oil and bitumen price in Niger briefly, so stay with us. According to Bloomberg News,
Niger has only managed to get half of its budget revenues in the first five months of this year,
as prices and low oil production have reduced government resources. Besides, Niger’s finance minister, Zeinab Ahmed, told lawmakers that the government’s total revenue from January to May
was 1.480 trillion nairas ($ 3.8 billion), which is only 56 percent of its revenue target.
He added that although Nigeria has a total production capacity of 2.5 million barrels per day,
the current oil production of the country to adhere to the agreement to reduce the production of the Organization of Petroleum Exporting Countries (OPEC) and its allies,
called “OPEC Plus” is about 1.4 million. It is important to note that one thousand barrels per day,
which, taking into account about 300 thousand barrels of oil condensate per day,
the total production of oil and condensate is about one million and 700 thousand barrels per day.
In this regard, Oil production in 2021 will average 1,860,000 barrels per day,
in 2022 2,090,000 barrels per day and in 2023, 2,380,000 barrels per day.The 23 OPEC and
non-OPEC oil producers in the Declaration of Cooperation Agreement at the April meeting on production cuts in three phases of 9.7 million barrels
for two months and 7.7 million barrels for six months, respectively. As a result, they agreed on 5.8 million barrels for 16 months.
Therefore, the daily production cut of 9,700,000 barrels per day in May and June of OPEC Plus,
which was about to reach 7,700,000 barrels per day, was extended for another month until the end of July,
with the exception that Mexico is subject to this extension. It is good to know that the decrease in production in July
will be 9 million and 600 thousand barrels per day.
On the other hand, Saudi Arabia, which chairs the ministerial committee monitoring the agreement between OPEC and
non-OPEC members (JMMC) on the production cut agreement,
has tried to pressure Iraq, Kazakhstan, Nigeria and Angola to adhere to production cuts and compensation.
According to a recent report by the International Energy Agency released on July 20th,
Niger’s oil production fell sharply in June, although the country has not yet been able to fully meet OPEC Plus cut in production.
As the final point, Niger oil and bitumen price in Niger has reached its lowest level since 2016.