Tuesday, 27 December 2016

Angola Closes 2016 as Leading Oil Producter in Africa



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Angola will close 2016 as the lead oil producer in Africa, having surpassed Nigeria by reaching a daily average of 1.7 million barrels.
The figure exceeds the previous record of 1.5 million barrels a day, according to today's media reports.
Pumping has increased by 8,800 barrels more per day compared with June, when the country surpassed Nigeria for the first time. Nigeria's production has been affected by attacks from anti-government militias.
Angola's production represents 90 percent of exports, 50 percent of gross domestic product and 80 percent of its tax revenues, according to the Angola Press Agency.
However, on average, Luanda obtained $45.93 for each barrel exported this year, compared to $100 earned in 2014.
To counteract this situation, the Angolan National Fuel Company (Sonangol) has begun a process of reforms that include bringing down the production cost of one barrel of crude oil to 12 dollars, almost half of the current price.
Sonangol's revenues are still lower than in 2013, the year before the economic crisis.
In 2014, revenues reached 26,657 billion dollars and in 2015 decreased to 16,212 billion.
Estimation for the budget of 2017 are 46 dollars a barrel and an annual production of 664.68 billion barrels of crude, or 1.84 million barrels daily.

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