Naira Gets Boost as Nigeria Surpasses OPEC Oil Quota in June 2025
- For the first time in a long while, Nigeria has exceeded its assigned oil production quota by OPEC
- Nigeria’s crude production rose above the OPEC quota in June 2025, the second time in six months
- The Nigerian National Petroleum Company Limited (NNPC) revealed that the country enjoyed 100% pipeline availability in June, leading to a rise in production
Legit.ng’s Pascal Oparada has reported on tech, energy, stocks, investment and the economy for over a decade.
Nigeria’s daily crude oil production increased above the quota allocated to it by the Organisation of the Petroleum Exporting Countries (OPEC) in June 2025.
This is the second time in 2025 that the country has exceeded its OPEC quota of 1.5 million barrels per day.
Source: Getty Images
Nigeria exceeds OPEC quota for second time
The first time was in January, and the second was in June 2025.
The Nigerian Upstream Petroleum Regulatory Commission (NMDPRA) disclosed that Nigeria’s daily average crude production was about 1,505,474 barrels per day, representing 100.4% of the OPEC quota.
According to reports, in May 2025, crude production stood at 1.45 million barrels per day, while crude and condensate production were 1.65 million barrels per day, and production dropped to 1.60 in March.
The upstream regulator disclosed in its report that the lowest and peak crude oil and condensate production in June totalled 1.61 million barrels per day and 1.82 million barrels per day, respectively.
NMDPRA shares actual crude output
The NMDPRA disclosed that the average crude oil production was 100.4% of the OPEC quota, representing 1.5 million barrels per day, while the daily average production in June stood at 1.697,045 barrels daily, including crude oil at 1,505,474 million barrels per day and condensate at 191,572 barrels daily.
Despite the modest improvement, the output is still below the targeted 2.06 million barrels per day projection in the 2025 budget.
Punch reports that the Group CEO of the Nigerian National Petroleum Company Limited (NNPC), Bayo Ojulari, disclosed that the country was increasing production with a medium-term goal to reach the projected 2.06 million barrels per day by 2027.
NNPC sets a bold vision for 2027
Ojulari expressed hope that the oil output would increase to 1.9 million barrels per day in December 2025.
According to the NNPC chief, in March, Nigeria produced 156mbpd and is at 1.63 million barrels per day currently, including condensates.
By the end of the year, the state oil company said it hopes to hit 1.9 million barrels per day.
The NNPC boss said Nigeria has recorded a 100% availability on major crude oil pipelines in Nigeria, noting that for the first time, Nigeria has enjoyed 100% crude oil pipeline availability throughout June.
Source: Getty Images
He attributed the feat to security interventions by the NNPC, which aided the increase in oil production.
Expert explains impact on the economy
Industry experts have said the development is a massive boost for both the country’s external reserves and the local currency.
“Crude oil is Nigeria’s major FX earner and a major contributor to external reserves. So, the increase will reflect positively on the reserves, which will also affect the naira,” Adeola Yusuf, energy policy expert and Team Lead at Platforms Africa, said.
He stated that the external reserves, which have risen recently, are a major buffer against the naira depreciation.
“Every time the CBN intervenes in the FX market by forex sales, it is usually from the reserves. So, it is critical that the reserves remain robust and the only way to remain strong is through earnings from crude oil sales,” he said.
Brent Crude rises above $70 per barrel
Legit.ng earlier reported that global benchmark crude prices rose this week, with Brent crossing $70 per barrel, raising fresh concerns about an imminent spike in fuel prices across import-dependent markets like Nigeria.
As of the morning of Monday, July 14, 2025, Brent crude sold at $71.00, up 0.91%, while WTI increased to $69.14, a 1.01% increase.
Murban Crude also rose slightly to $72.21, representing 0.92, and natural gas increased to $3.463 per MMBtu.
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Source: Legit.ng
