Nigeria cashes in big as Price of Bonny Light hits $74.68 per barrel

Nigeria to cash in big as Price of Bonny Light hits $74.68 per barrel

For the first time in 2021, the price of Nigeria’s Bonny Light, Wednesday, rose to $74.68 from $72.60 per barrel.

The bullish market was bouyed by rising demand and efforts of the Organisation of Petroleum Exporting Countries (OPEC) to achieve market stability

This indicates an excess of $34.68 per barrel on the nation’s 2021 budget benchmark of $40 per barrel and 1.86 million barrels per day, mb/d, including Condensate.

Similarly, the prices of other crudes, including Brent and OPEC Basket, also rose to $73.64 and $71.99 from $72.80 and $70.50 per barrel recorded the previous day respectively.

In its June Oil Market report, OPEC stated that the country produced 1.344 mb/d, excluding Condensate, based on information obtained from direct sources.

It further stated that total global oil demand is expected to average 90.6 mb/d.

“For 2021, world oil demand growth is kept unchanged at 6.0 mb/d, with total oil demand standing at 96.58 mb/d.

OECD demand is revised slightly lower on an annualized basis, mainly reflecting lower-than-expected data from OECD Americas and Europe in 1Q21,” the OPEC said.