Nigerian crude output reduces 500,000 b/d
OREANDA-NEWS. Production of Nigeria's key export grade Qua Iboe is returning to normal following a pipeline outage last month, but around 500,000 b/d of Nigerian crude remains shut in due to sabotage-related disruptions.
Armed militant group the Niger Delta Avengers (NDA) has stepped up its attacks on Nigeria's oil infrastructure in the past month, since it shut in 250,000 b/d of Forcados when it sabotaged the main export pipeline in February.
The latest wave of violence has cut Nigerian output by another 250,000 b/d, to around 1.62mn b/d, according to Argus estimates, which compares with production levels of around 2.1mn b/d in January.
Bonny Light, Brass River and Escravos — all produced in the onshore Niger delta region — are the grades most affected by the latest attacks.
Qua Iboe output was briefly suspended last month after a drilling rig ruptured an offshore pipeline on 8 May. Operator ExxonMobil lifted force majeure on 3 June, and production is expected to reach 285,000 b/d this month. Force majeure remains in place on Bonny Light, Brass River and Forcados.
Production of Bonny Light and Brass River has continued but both grades, as well as Escravos, have experienced severe loading delays, aggravated by a string of attacks last week.
The NDA's latest targets included two Eni-operated pipelines, further limiting Brass River output, and two Chevron-operated onshore wells — RMP 23 and RMP 24 — impacting on Escravos production that was already reduced by an early-May attack on the offshore Okan platform. Shell last month reported damage to the Nembe Creek Trunk (NCT) line, which carries Bonny Light.
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