Angola Overtakes Nigeria as Top Crude Oil Producer in Africa

In the latest monthly oil market report (MOMR) released by the Organization of Petroleum Exporting Countries (OPEC), Angola has emerged as the top crude oil producer in Africa, surpassing Nigeria’s output level. According to the data shared in the April 2023 MOMR, Angola recorded a production level of 1.06 million barrels per day (mbpd), while Nigeria’s output dropped 23% month-on-month (MoM) to 999,999 barrels per day, bpd, in April 2023 from 1.3 million bpd in March 2023.

This shift in the oil production ranking is significant as Nigeria has been the top crude oil producer in Africa for a long time. However, Angola’s output level has been steadily increasing, while Nigeria’s production has been volatile, primarily due to oil theft. Nigeria’s oil output had declined to around 1.1 mbpd in the second half of 2022. However, it began to recover after a nationwide outcry in the fourth quarter of 2022, hovering at 1.3 million bpd in the first quarter of 2023. Unfortunately, in April 2023, Nigeria’s output level hit a new low of less than 1.0mbpd.

The OPEC report noted that Nigeria’s economy faced challenges in gaining momentum in the first quarter of 2023, with business activity and consumer spending remaining subdued. The report also highlighted high input-cost inflation and lower employment levels compared to 2022. This situation further complicates Nigeria’s efforts to increase its crude oil production level and maintain its position as the top crude oil producer in Africa.

In contrast, Angola’s increasing crude oil production level indicates its efforts to improve its oil sector. OPEC’s report shows that crude oil output increased mainly in Saudi Arabia, Angola, and Iran, while production in Iraq and Nigeria declined. This report is a wake-up call for Nigeria to address the challenges it faces in its oil sectors, such as oil theft and other factors that hinder its ability to increase crude oil production.

In conclusion, Angola has now emerged as the topmost crude oil producer in Africa, surpassing Nigeria’s output level, which has hit a new low. The OPEC report indicates that Nigeria’s economy faces significant challenges in gaining momentum in 2023. Therefore, Nigeria needs to address the factors hindering its ability to increase crude oil production and maintain its position as the top crude oil producer in Africa. On the other hand, Angola’s steady increase in crude oil production indicates the country’s efforts to improve its oil sector.