Nigeria crude and oil gas sales rose sharply to N1.22 trillion in 2017, according to data obtained from the Central Bank of Nigeria, CBN. The CBN, in its Economic Report for the Fourth Quarter of 2017, disclosed that the amount earned by the Federation from crude oil and gas sales in 2017, appreciated by 213.6 per cent or N831 billion as against N389.55 billion recorded in 2016.
Giving a breakdown of the country’s oil and gas sales in 2017, the report noted that in the first and second quarters of the year, crude oil and gas revenue stood at N78.63 billion and N101.33 billion respectively; while it rose sharply to N771.18 billion in the third quarter, before dropping to close the fourth quarter at N236.69 billion. According to the report, total crude oil and gas sales in 2017 accounted for 29.7 per cent of gross oil revenue in the year under review. Particularly, the report disclosed that the country recorded gross oil revenue of N4.11 trillion in 2017, appreciating by 52.5 per cent or N1.42 trillion, from N2.7 trillion recorded in 2016. “Gross oil receipt at N1.226 trillion or 60.1 per cent of the total revenue, was lower than both the proportionate quarterly budget estimate and the receipts in the preceeding quarter by 9.1 per cent and 3.5 per cent, respectively.
The decline in oil revenue relative to the proportionate quarterly budget estimate was attributed to the fall in receipts from crude oil/gas exports. This was due to the drop in crude oil production, arising from leakages and shut-ins/shut-downs,” the report explained. In addition, the report stated that Nigeria’s crude oil production, including condensates and natural gas liquids, closed in the fourth quarter of 2017 at an average of 1.80 million barrels per day (MBD) or 165.60 million barrels in the three-month period, representing a decline of 0.03 mbd or 1.8 per cent, compared with 1.83 mbd or 168.36 million barrels recorded in the third quarter. The CBN blamed the decline in Nigeria’s crude oil output on shut-ins/shut-down in some of the production facilities across the oil-producing areas of the country.
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