Nigeria’s rig count drops 13% as oil output rises to 1.4 million bpd

Nigeria’s rig count, a major index of measuring activities in the upstream sector, dropped month-on-month (MoM, by 13.3 percent to 13 in October 2023, from 15 recorded in the preceding month of September 2023.
The blog post on Nigeria News today indicated that the fall is the result of limited investment and activities during the period, based on the November 2023 Monthly Oil Market Report, MOMR, of the Organisation of Petroleum Exporting Countries, OPEC, which was released yesterday.
But, year-on-year, the report indicated that the nation’s rig count rose by 62.5 percent to 13 in October 2023, from eight recorded in the corresponding period of 2022.
However, the report showed that Algeria is the leading African nation with 43 rigs while Gabon came last with only two rigs.
It also indicated that the nation’s output rose marginally MoM by 1.2 percent to 1.416 million barrels per day (bpd in October 2023, from 1.399 million bpd in the preceding month of September 2023, according to data obtained from secondary sources.
But based on data collected from official sources, Nigeria’s oil output rose marginally MoM by 0.29 percent to 1.351 million bpd in October 2023, up from 1.347 million bpd recorded in September 2023.
Commenting on the development, the Commission Chief Executive, Nigerian Upstream Petroleum Regulatory Commission, NUPRC, Engr. Gbenga Komolafe, said the nation has recorded increased activities, mainly because of the positive impact of the Petroleum Industry Act, PIA, a comprehensive legislation targeted at increasing investment in the oil and gas industry.
In his presentation, Energy Transition Regime: Leveraging Investment Opportunities in the Nigerian Petroleum Sector," at the just-concluded Africa Oil Week, AOW, in Cape Town, South Africa, he stated: “The PIA is positively impacting as it provides institutional governance, efficient administration, and attractive fiscal regimes while providing for host communities, thus creating a peaceful atmosphere for investment and operations.”
Already, the NUPRC boss disclosed that the Commission is partnering with TGS-Petrodata, a globally renowned organization, to provide data capable of enhancing clarity for investors.