NNPC says Egina crude stream to fall outside OPEC cuts

Nigeria’s state oil company NNPC indicated that output from the new ultra deepwater Egina field would be classified as condensate and not oil, adding that the country would conform to a OPEC-led production cut.

Asked if the Egina stream would be categorized as oil and therefore frustrate efforts for the top African exporter to cut output in line with an agreed OPEC quota, NNPC managing director Maikanti Baru said, “it is not part of the volumes we look at.

“(Total production is) within the region of 400,000-500,000 barrels of condensate.”

Baru told an energy conference in London that country’s current oil production stands at about 1.8 million barrels per day, plus around 400,000 bpd of condensates.

“In terms of the OPEC quota, I think it’s not a cut in production, it’s to ensure we keep the quota. Of course the president said it and we will obey.”

Source: Reuters