Federal Government’s N26 Trillion Budget Sees Hope Surge With Oil Price Jump To $81.11

Federal Government’s N26 Trillion Budget Sees Hope Surge With Oil Price Jump To $81.11....KINDLY READ THE FULL STORY HERE▶

Just days before the onset of the 2024 fiscal year, optimism is reignited in Nigeria’s revenue prospects with the surge in the price of Bonny Light to $81.11 per barrel, surpassing last week’s closing at $78 per barrel by $3.15. This rise exceeds the 2024 budget reference price of $77.96 per barrel….CONTINUE READING

READ ALSO:https://bushradiogist.com/soludo-returns-to-duty-following-fathers-funeral-approves-2024-budget-into-legislation/

The 2024 budget, set at N26 trillion and pegged at $77.96 per barrel with a daily output of 1.78 million barrels, faced uncertainty as oil prices fluctuated dangerously close to the benchmark in recent weeks. The spike in Bonny Light prices, attributed to Red Sea attacks causing shipping disruptions, has alleviated these concerns, providing a positive outlook.

Despite this positive development, the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) reported a 7.4 percent decline in oil output to 1.25 million barrels per day in November 2023, down from 1.35 million barrels per day in September 2023. This shift in the pressure point to output levels raises concerns about achieving the targeted revenue in 2024 if the trend persists.

Addressing these challenges, the newly appointed board and management team of the Nigerian National Petroleum Company Ltd (NNPCL) have committed to a significant increase in crude oil production. Chairman Pius Akinyelure expressed determination to produce two million barrels daily from 2024, emphasizing their collective efforts to transform the oil and gas sector.

Akinyelure stated, “We will do the best we can to make sure that the key performance in the oil and gas industry in Nigeria probably will become number one in Africa and probably compete with the leading oil and gas industry around the world.”

Minister of State Petroleum Resources (Oil) Senator Heineken Lokpobiri echoed this sentiment, asserting that Nigeria’s oil production would surpass the 2024 budget target of 1.7 million barrels per day. Despite acknowledging challenges such as oil theft and pipeline vandalism, the commitment is clear: to position Nigeria as a formidable player in the global oil and gas industry.

For more information join our whatsapp group by clicking the link here: WhatsApp Group Invite