It is understatement to say that Nigerian oil is one of the best in the world. We all know that oil and gas export is the biggest foreign exchange earner for the country. The dynamism in the world oil market and the unprecedented rising competition is taken for granted by the Nigerian Government. However, the government deserves all accolades for its bid to review the award process of oil licenses for marginal oil fields in Nigeria and for announcing plan to sign The Petroleum Industry and Governance Bill (PIGB).


In time when the 2017 Resource Governance Index produced by the Nigerian Resource Governance Institute (NRGI) found that the weakest link in Nigeria’s oil and gas value realization is the oil licensing process, the PIGB possess fundamental reforms that Nigeria needs to attain & maintain a domineering position in the world oil marketing in the near future. In all manner of modern marketing strategy, the content of the Bill is to enhance transparency, openness and accountability in oil and gas industry.


Delaying the Bill further is no longer a wise decision. It is like a holding on to shoot the target until he shoots right into your direction. Nigerian oil and Gas industry is the one to bear the brunt if a proactive measure is not taken to sign the bill without further delay. Within the span of 7 years; 2010 and 2017, up to 51 oil licenses expired without any renewals translating into loss of jobs, investment & revenue generation. The oil license renewal isn’t only the issue but the main issue at stake is ensuring that the PIGB is signed into law, because the bill ensures a competitive and transparent process is adhered to in assigning the oil blocks so that only companies with the required financial and technical capacity are issued the licenses, in order to avert a repetition of an unfortunate history.


For example, during the 2005 oil license rounds, several of the firms that were allocated oil blocks lacked the financial and technical capacity to develop the oil fields. Furthermore, only 30% of the previously allocated marginal fields have reached level of commercial production. Then comes the critical question what happened to the 70%? This is contained in the “2014 Benchmarking Exercise Report”.


That kind of loss results from the existence of outdated, primitive & inadequate law governing the oil licensing process. Typical example is the Malabu Oil Scandal which is the worst-case scenario of abusing against due process, that has carved a spot for Nigeria on the world map of corruption, consequently, manifesting in a shortage of FDI in the country’s oil and gas industry, the multiplier effect of which include unemployment and a weak Naira. At the pace things are going, current licensing process gives Nigeria nothing other than the setback in harnessing its economic main stay through which it delivers development programmes.

In conclusion, the PIGB urgently needs to be signed because of heap of financial losses accumulated in 2005, 2006 and 2007 to challenge the quality level of infrastructure and skills at DPR. This led to loss of revenue of more than $2.26 billion. Two, public outcry has been growing on the conduct of the oil licensing process in Nigeria so much so that the past bid rounds have subject to various probes administratively and legislatively, elongating the hardship. Three, there is evidence of non-development of oil fields. Less than 50 contracts were signed or executed after 170 blocks were offered. Four, it is sad that the process contributes to damaged International reputation of oil companies that participate in the Nigeria Bid Rounds, especially the already resident companies that remain without the required bidding qualification in the dynamic competitive environment.

https://thepunditng.com/open-oil-licensing-why-it-matter-by-abubakar-dadiyata/

Abubakar Dadiyata Writes from Gidan Liman Jajawa Madobi, Kano state. He can be reached on twitter via @dadiyata

Naija

PIGB has been frustrated even under Buhari. This is why we must look for ways to sit down candidates and ask them about their plans for important and burning issues.

Govt can't fold its arms and watch the export of valuable crude oil then turn around and pretend to care by giving us trade moni or n-power crap.
Let them build refineries and gainfully employ people if they want to impress.

Four licensing rounds were held during OBASANJO's administration – in 2000, 2005, 2006 and 2007, although they were marred by controversy as they suffered shortcomings.
We will pick up here ASAP.

, say something better than OK.

These abokis have too many opinion about Niger-delta oil.

You would think they actually own it, or their land is in close proximity to the Niger delta.

They don't see us talking about whatever solid minerals they have.

Failure we always be a Failure don't allow APC and Buhari to turn Nigeria to a Fail State completely so Vote Out Buhari to redeem Nigeria ImageHOPELESSNESS is when you believe that an old,uneducated tyrant,brainless fool,tribalistic dullard can rule a country blessed with hardworking and vibrant citizens.Reelecting Buhari would return Nigeria to "military-style dictatorship" because "Buhari is not a democrat, he is a Liar". He practices "drunk dictatorship" by "serially ignoring court orders." "Buhari sanctioned the killings of hundreds of unarmed civilians on multiple occasionsTurkey was a Christian nation until Othoman, like Buhari, suddenly became their President/National leader in the 13th century and imposed Islam on them and today, Turkey is now an Islamic nation where churches are not allowed.
If you vote APC/Buhari, before the end of his 2nd term in office, churches will be a taboo in Nigeria and Islam will not only be Nigeria's official religion, but will be made mandatory.
Don't say it's not possible, because under BuhAPC are really desperate
They've seen the hand written on the wall .. Nigerians are Atikulating in millions every day .
Buhari will be disgraced this FailBuhari , Insha Allah .

CodeTemplar:
hmmmm

CodeTemplar:
, say something better than OK.

Why don't you make your comment on the topic and leave?!
You've not contributed anything to the thread but waiting for your elders to make a comment before you know what to type?!
Don't you have a brain personally?!
What a soul!

alright

cool

Alright.

post=75441799:


Why don't you make your comment on the topic and leave?!
You've not contributed anything to the thread but waiting for your elders to make a comment before you know what to type?!
Don't you have a brain personally?!
What a soul!

Say something about PiGB Buhari hasn't touched. Say something about Nigeria still exporting valuable crude that can employ millions "gainfully" if refined locally instead of the slavery packaged as n-power and trade-moni.
Stop dodging same sensitive issues APC rode on to power and I will leave you political àss alone.

CodeTemplar:
PIGB has been frustrated even under Buhari. This is why we must look for ways to seat down candidates and ask them about their plans for important and burning issues.

Govt can't fold its arms and watch the export of valuable crude oil then turn around and pretend to care by giving us trade moni or n-power crap.
Let them build refineries and gainfully employ people if they want to impress.

You must be a petty trader for the government to be offering you trader moni. Esi ewu. Tcheeew

ClearFlair:


You must be a petty trader for the government to be offering you trader moni. Esi ewu. Tcheeew

I wrote about n-power and trade-moni but you saw the one that applies to you and not the other.

hymmm

BuhariLooter:
Failure we always be a Failure don't allow APC and Buhari to turn Nigeria to a Fail State completely so Vote Out Buhari to redeem Nigeria
.

Do you have a job at all? Your frustrations in life and poverty level are caused by other factors and not Buhari. You were poor before this present administration came to power.

sounds like