Stakeholders Predict Balanced Global Oil Market

The executive chairman of the AEC, NJ Ayuk, has expressed confidence that the 2024 global oil market will witness stability following strong and unflinching support offered to the Organization of Petroleum Exporting Countries(OPEC).

Ayuk said, through cooperation with OPEC, OPEC+ and global member countries have succeeded in ensuring the sustainable growth of the African oil sector.

Nigeria, Africa’s leading oil producers and member of the OPEC, has affirmed her commitment to efforts by OPEC and OPEC+ and its member countries to stabilise the global oil market in 2024 and beyond.
During the 36th OPEC and non-OPEC Ministerial Meeting held in November, the organisation and its member countries, reached an agreement with participating countries over the production quota for 2024.

As part of the agreement, Nigeria has agreed to a production quota of 1,500 bpd as from January 2024.
The aim is to ensure a stable and balanced oil market at the helm of various factors, including the energy transition and changes in energy consumption patterns, impacting the global oil market and oil-producing countries.

Minister of State for Petroleum, Sen. Heineken Lokpobiri, reaffirmed Nigeria’s unwavering commitment to OPEC in addressing the changing dynamics of the global energy sector.

He said: “Our collaboration within the organisation remains pivotal in fostering stability and sustainability in the oil market. We are resolute in our dedication to OPEC’s objectives while actively engaging with the organisation to address concerns that resonate not only within our nation’s borders but across the entire continent.

Nigeria stands ready to contribute constructively to the ongoing dialogue, ensuring that the unique challenges and opportunities of our region are duly recognised and addressed.

“We are resolute in our dedication to OPEC’s objectives while actively engaging with the organisation to address concerns that resonate not only within our nation’s borders but across the continent,” Lokpobiri said in a statement on X, formerly known as Twitter.

Like Angola, Nigeria had a disagreement with OPEC’s leaders over its production quota for 2024, though this appeared to be resolved at the group’s latest meeting on November 30.

The (AEC), as the voice of the African energy sector, strongly supports Nigeria, for the commitment to foster the growth and stability of both the African and global oil markets through collaborative efforts on market sustainability and expansion with OPEC, OPEC+ and member countries.

For decades, OPEC has positioned itself as a reliable consortium for global oil producing countries such as Nigeria to strengthen upstream operations, local content development and resource monetization strategies while navigating the shifting global market.

At the same time, Nigeria, with the support of OPEC, OPEC+ and member countries have placed herself as a key contributor to global energy security.

Nigeria has for decades ranked as Africa’s top producer and one of the world’s most important oil exporters.

The chamber believes that with the energy transition taking centre stage and global climate policies disrupting the oil industry, at a time African countries maximise oil production and monetization to address growing energy poverty and demand at global scale while accelerating industrialization, OPEC has a huge role to play.
Through enhanced cooperation with OPEC and OPEC+ member countries, the Chamber is confident that Congo will accelerate oil production and continue to shape the growth of the African industry and resilience of the global market.

The executive chairman of the AEC, NJ Ayuk said Nigeria, through cooperation with OPEC, OPEC+ and global member countries, has succeeded in ensuring the sustainable growth of the African oil sector, adding that the commitment to adhere to principles laid by OPEC to ensure the continued growth of the sector, is a huge testimony of the organisation’s obligation and ability to contribute to the growth of African economies on the back of optimal exploitation of oil resources.