Libya and Nigeria Growing Oil Production a Concern for OPEC

Rising oil production in Libya and Nigeria are raising concerns about OPEC’s ability to boost crude prices, but conflicts in the two nations still may keep a lid on their production.

Both OPEC members are exempt from the cartel’s deal to remove 1.2 million barrels a day from the oil market in the first six months of this year. But with the cartel poised to extend the agreement at least through the rest of 2017, the conflicts that sidelined Libyan and Nigerian crude supplies appear to be easing.

Libya’s output rose above 800,000 barrels a day for the first time since 2014, when a second civil war broke out, the country’s National Oil Corporation reported last week. Meanwhile, Nigeria is restoring major infrastructure damaged in militant attacks that nearly halved its output last year.

via CNBC

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza