Nigeria sets its daily oil output at 1.412 Million barrels per day from 1.87mbd which used to be the average.
The production cut would effect from May-June 2020.
The Minister of Petroleum, Timipre Marlin Sylva said: “Nigeria will take the cut as a result of the 9.7m barrels output cut reached by OPEC on Sunday.
The global cut would last till 2021, Oil producers will reduce output by 8 million barrels between July and December 2020.
From January 2021 till April 2021, output will be reduced by six million barrels.
Nigeria is sets crude production in like manner.”
After the 1.412m output level in May-June, Nigeria will also peg output at 1.495 Million Barrels per day in July-September.
Then from January 2021 till April 2021, output will go up to 1.579 Million Barrels per day.
Sylva said:“This is to increase production from 360 to 460 thousand barrels of oil per day(KBOPD)from OPEC curtailment.”
Nigeria joined its other OPEC counterparts on Easter Sunday to reach the production pegging decisions.
“The intervention of the United States of America resulted in Mexico agreeing to a cut of 100 KBOPD and to be complemented by an additional 300 KBOPD by US Producers”, Sylva disclosed.
“This will enable the rebalancing of the oil markets and the expected rebound of prices by $15 per barrel in the short term.
“This also promises an appropriate balancing of Nigeria’s 2020 budget that has been rebased at $30 per barrel”, Sylva added.