Nigeria has one of the lowest rig count activities among OPEC

by | February 12, 2018 1:35 am

As oil price soars high, Nigeria has one of the lowest rig count activities among all Organisation Petroleum Exporting Countries (OPEC), as Nigeria witness a slight fall in its rig count, data obtained from the Organisation of the Petroleum Exporting Countries, (OPEC) has shown.

Nigeria’s rig count for the month of December 2017 witness a slight fall to 28 as against 29 recorded in the previous month making it one of the counties with the lowest rig counts among OPEC members countries, BusinessDay investigation revealed.
Rig count is a country’s weekly census of the number of drilling rigs actively exploring for or developing oil or natural gas.

As at December 2017, Saudi Arabia had the highest rig drilling activities of 142 rig count; followed by Venezuela with 82 rig counts; while Iraq Kuwait and United Arab Emirates (UAE) and Algeria all had 54, 53, 54 and 50 respectively to make up the six countries with the highest rig counts among OPEC members countries.

Also, Nigeria have 28 rig drilling activities, followed by Qatar with 6 rig counts, while Ecuador, Angola, Gabon, and Equatorial Guinea and Libya all had 5, 2,2,1 and 1 respectively to make up OPEC countries with the lowest number of rig count.

Despite Venezuela internal crises, the country still witness the highest increase in rig count of 10, as it recorded 92 in December, compared to 82 in the previous month. The 14 OPEC members recorded a total of 550 rig counts last December as against 548 recorded the previous month.
Iraq was second to Venezuela in terms of increase in rig count, as it recorded an increase of 3, having had 54 in December, as against 51 recorded in November.
A breakdown of what transpired in Nigeria’s deepwater drilling activities in 2017, showed that in first quarter 2017, Nigeria had a total of 27 rig drilling activities, increasing to 28 rigs in the second quarter.
In the third quarter, it dropped again to 27 rigs and rose slightly to 28 rigs in the fourth quarter. In November, drilling activities rose to 29 on rig count, dropping again to 28 in December.
Leading the OPEC loss pack was Algeria, which had minus five, having recorded 50 as against 55 during the period under review. It was followed by Saudi Arabia, which had a loss of four, following its record of 142 rig count in December, as against 146 rig count recorded the previous month.
Ecuador tallied with Nigeria with the loss of one, having recorded a rig count of five in December as against six recorded previously.
Eight other OPEC members showed no change in their rig count during the period under review. Iran, United Arab Emirate (UAE), Kuwait, Qatar, recorded 61, 53, 6, respectively, while Angola and Gabon recorded two each, as Equatorial Guinea and Libya recorded one each.
Non-OPEC members saw an increase of 30, having recorded 1,621 rig counts in December as against 1,591 previously. World rig count witnessed an increase of 32, as it recorded 2,171 in December as against 2,139 in November.

Going by regional rig count, Latin America gained 14 units in December to 195, up 11 year-over-year, while in North America; the US was up 19 units to 930, a rally of sorts, as it marked the first increase in average monthly rigs running since July 2017.

Canada was up 1 unit to 205. The Asia-Pacific region dropped 4 units during the month to 217 but was up 25 rigs compared with its December 2016 average, while Africa declined 8 units during the month to 77, down 1 year-over-year.
Last month, Nigeria itched towards the realisation of the$16billion Egina project as its Floating, Production, Storage and Offloading unit (FPSO), the largest in the country and indeed in Africa arrived Lagos Deep Offshore Logistics Base (LADOL) where the integration of six locally fabricated modules will take place over the next few months.

It is the largest investment project currently on-going in the oil and gas sector in Nigeria. The project is expected to be completed in Q4 – 2018 within the initial budget.