ednut1:
yes it does. The last one i calculated for my last client in Nigeria was 19 usd. When you add royalty, gas flaring penalties, maintenance costs, community settlements, pipeline costs and storage, expatriates, materials etc. Its over 20 dols per barrell. The company lost over a million barrels in 2019 to theft

Theft how, that is what they will tell us cause we are so stupid to put right machinery in place
How can a company lose 1million barrels in a year,?
Is their storage facility cited 2thousand miles away from the drilling zone?

No Igbo businessman will invest in this kind of venture. A Peter Obi presidency for instance will not agree to be producing at a loss like the current Northern Nigeria Petroleum Corporation is doing while borrowing from every corner of world to take care of recurrent expenditures

Everyone in this God forsaking shit hole country with docile leaders at the helm of affairs shd braise up for what is to come next. Prepare for what is to come. My earnest prayer is oil to be sold as low as 10 dollars pbr till the end of eternity.let everybody put on his or her thinking cap to figure out how to survive. Our leaders have mismanage,plunder, loot out comon patrimony away and starched it all over the world when oil has a lot of value in the market. God has very much tried for us.but greed is what bereft us the national cake has been battared and is bleeding bleeding profusely .if you are wondering why goro chewing MuGu is running from pillar to post borrowing money to keep Nigeria afloat. This is why. NIGERIA IS BROKE.

AkupeMBANO:

5years not 50.

Thank you

ikorodureporta:


Source: https://www.sunnewsonline.com/r-e-v-e-a-l-e-d-nigeria-making-only-3-profit-from-oil-barrel/

Bunch of Criminals and Looters, na who do Nigeria like this nah?

yaki84:

Outside community settlements, the other fees are or should be applicable to other foreign countries that drill too. Why is ours still on the high side, or is the community settlement so big that we can't see?
Are u saying saudis don't maintain their storage facilities or pipelines, dont they pay expatriates, don't they pay royalty or gasflaring penalties too?

Saudi oil is mostly on open desert land ours is deep inside swamps and ocean. Different cost. Saudis version of nnpc also controls most of the oil unlike here. Saudi fields are all computerized and every barrell is accounted for in Nigeria here it is not monitored. The taxes here are killing. Many of the fields here were dug in the 70s and are depreciating. So you cant compare. Its like comparing a man who farms near the water and another who farms in the desert. Their costs are not same

apache22b:
This Government of Buhari is so dumb and i am ecstatically delighted and disproportionately flabbergasted with enormous gratification and appreciation for the dispensation of such a tendering and mesmerizing information in which the prestidigitation of the concurrent and subsequent matter is thoroughly demonstrated through the innuances alluding to literal and metaphorical context. It is highly imperative to note that, such is the significance of the aforementioned, distortion in any shape or form will result in catastrophic ramifications to which will be the outcome of epic proportions. I thank you for your unequivocal.

pls What's d name of d weed?

AllenSpencer:
Nigeria needs to be sold and we share the money the money amongst ourselves.

My problem here is who will even accept to buy a country as backward and corrupt as Nigeria.

Every Nigerian is a potential criminal, no matter his/her status in the society...
Many fighting now clearly have not gotten their chance to steal that's why.
It's in the DNA of Nigerians.

Reading submission makes me sad, how a country with crude oil as it only major source of income be this dumb.

DModeCntStopMe:


My problem here is who will even accept to buy a country as backward and corrupt as Nigeria.

We have resources. untapped resources.

We will get a buyer definitely. America, China or Uk can afford us.

ednut1:
Saudi oil is mostly on open desert land ours is deep inside swamps and ocean. Different cost. Saudis version of nnpc also controls most of the oil unlike here. Saudi fields are all computerized and every barrell is accounted for in Nigeria here it is not monitored. The taxes here are killing. Many of the fields here were dug in the 70s and are depreciating. So you cant compare. Its like comparing a man who farms near the water and another who farms in the desert. Their costs are not same

If you keep doing g the same thing all over again and expect different result don't u think that is stupidity?
The oil companies have seen the loopholes, they capitalize on it to the detriment of Nigerians, nnpc should wake up from slumber....

China is really enjoying this downfall in price of oil, cos they are the largest buyer in the world.

Perhaps that's their plan with this covid -19 pandemic.

Are you expecting anything positive from Northern Nigerian petroleum corporation.?

The place is so redundant to expect competitiveness.

yaki84:

Theft how, that is what they will tell us cause we are so stupid to put right machinery in place
How can a company lose 1million barrels in a year,?
Is their storage facility cited 2thousand miles away from the drilling zone?

the storage most of them use is shell terminal bonny bonny and forcados. Where ships can come load. Your oil field may be deep in rivers or delta and needs pipeline to transport the crude. Anytime oil transportation is to take place different vandals would have taken positions in different ends of the pipeline line. You cannot secure a pipeline that is deep from one state to the other. Oil companies spend up to 30m usd a year on security on these fields yet vandals still plenty.

HantaVirus:
[b]Oil will be useless in the next 50 years[/b]p

The Nigerian economy need to be diversified...We have other sectors that could be worked on... Agriculture ,Entertainment ,Tourism and others..

This government needs to act fast

Don't buy that lie bro, every decade more oil wells are being discovered and oil exploration & production technology gets more advanced. Countries pushing this narrative want you to devalue your oil so they can get it for cheaps!

Normal levels.

Cost and compare any Nigerian project done by the government and compare with any other country and you would quickly understand how Nigeria is built on the foundation of lies, and lies, plus more lies.

Whether it is bridges, structures, infrastructure or any type of facility, expect to see a cost that is at least 20 -1000 times more than anywhere else in the world.

Nigerian leaders are actually some of the most wicked and heartless you can find anywhere on earth.

Below is a pedestrian bridge at Abeokuta. Can anyone tell me what use is this type pedestrian bridge alleged to have gulped 1 billion Naira? Right or wrong this has too many wasted resources. They even put AC in some of the bridges.

What Nigeria is practicing is kleptocracy and not democracy!!!

Senator olodo,


The offshore cost of production when working with IOC is $ 21 and Deep Sea cost of production when working with IOC $35

The government cannot explore onshore oil due to insecurity, pollution and lack of infrastructures, road, rail, water and security.


I was shocked when the stupid Malami and Mele Kolo Kyari, decided to exchange increase ownership of the redundant deepsea oil fields in exchange for $62 billion, there a dummy born every day

Nigeria to negotiate with IOCs over $62 billion demand
Nigeria’s Justice Minister, Abubakar Malami, disclosed over the weekend that negotiations had begun towards a possible resolution.
https://nairametrics.com/2019/10/14/nigeria-to-negotiate-with-iocs-over-62-billion-demand/

Dpharisee:
No Igbo businessman will invest in this kind of venture. A Peter Obi presidency for instance will not agree to be producing at a loss like the current Northern Nigeria Petroleum Corporation is doing while borrowing from every corner of world to take care of recurrent expenditures

The only igboman that can do this is Joe igbokwe

Everyday bad news.

Nigeria is a virus on it own.

When communicating make sure others understands the message you passing.

apache22b:
This Government of Buhari is so dumb and i am ecstatically delighted and disproportionately flabbergasted with enormous gratification and appreciation for the dispensation of such a tendering and mesmerizing information in which the prestidigitation of the concurrent and subsequent matter is thoroughly demonstrated through the innuances alluding to literal and metaphorical context. It is highly imperative to note that, such is the significance of the aforementioned, distortion in any shape or form will result in catastrophic ramifications to which will be the outcome of epic proportions. I thank you for your unequivocal.

MYMINDER:
3 major differences:

1. Production levels per day are a lot higher than Nigeria: Economies of Scale. Russia is about 11m and Saudi Arabia is 12m while Nigeria is barely 2m.

2. Better infrastructure in place.

3. Falsification of production costs (higher then actual) to encourage corruption and malfeasance.

The difference in cost is so outrageous that the output shouldn't matter.

If the infrastructure is substandard, then it is the fault of your Northern Nigerian petroleum corporation.

Those fuccckkkers are given globally competitive salaries to deliver loss and unproductivity.

Atiku had the right idea. Sell that corrupt piece of shitt to make it competitive like the NLNG.

Go to the NLNG. The best of the best works there and it shows.

Nigeria is a top 10 oil producer.

We shouldn't be talking about substandard drilling infrastructure like a new player drilling 10 barrels of oil per day.

The NNPC has failed. An abokiii venture, nothing More.

R-E-V-E-A-L-E-D: Nigeria making only $3 profit from oil barrel
...As Senate kicks over high cost

The leadership of the Nigerian National Petroleum Corporation NNPC), yesterday, came under fire in Senate, over high cost of oil production, resulting in a marginal profit of just $3 per barrel for the country.

This is coming amidst protests from senators against the $3 marginal profit being made on a barrel by the Corporation, rhey called on the Federal Government to get the nation’s economy diversified as quickly as possible.

Information on the high cost of oil production which is $21.2 per barrel , almost equaling $25 per barrel oil price benchmark fixed for the N10.509 trillion 2020 revised budget , came to the fore when officials of the Corporation appeared before the Senate Committee on Finance.

Trouble started when its Chief Operating Officer (Upstream), Yemi Adetunji was called upon by the Chairman of the Committee, Senator Solomon Olamilekan Adeola to explain why cost of oil production in Nigeria is far higher than those of other oil producing countries of the world .

According to Senator Adeola , while cost of oil production in Saudi Arabia is $4 per barrel and $3 per barrel in Russia, it is $21.2 per barrel in Nigeria , indicating very poor marginal profit of about $3per barrel based on new oil price benchmark of $25 per barrel .

The NNPC chief in his response , attributed the high cost of oil production to series of peculiarities ranging from security to crude oil theft .

However, virtually all the members of the committee dismissed his submission as untenable , declaring that required actions must be taken to address the abnormality .

Specifically, James Manager, in his remarks, said the security problem mentioned by the NNPC , was not tenable as similar problems exist in all other oil producing countries without high cost of production like Nigeria.

“Even the reason that he gave for the high cost of production per barrel I think they are not tennable because wherever oil is produced they have their own security challenge including even Saudi Arabia, Iran Russia, they have their own unique security issues how is our own so peculiar that our cost of production is up to $21 per barrel.

“You also mentioned administrative issue, which are those administrative issues why are we different from the rest of the world. These are issues that the national assembly are supposed to take up,”he said .

Another member of the committee ,
Senator Shaibu Gumau, declared that the existing $21.2 per barrel high cost of oil production and $25per barrel oil price benchmark is not commonsensical economically for the country .

” I can’t just believe even common sense cannot agree with this not even the national assembly. How could we expect a situation where cost of production of oil per barrel is $21.2 and the revenue is $25 per barrel.

“Yet other countries in the world not one, that their cost of production is not even up to $10 per barrel. It is difficult to understand and I dont think it is only National Assembly, even the executive themselves should sit down and ask themselves this question because we are watchdogs.

” Not because we are watchdog that is why we are disturbed but it has got to an extent that they too should be disturbed and there should be a solution and if not there should be an explanation that somebody can understand and agree but common sense can not understand this,” he lamented.

Jubrin Issa, also disagreed with the NNPC official over the high cost of oil production by aligning with his other colleagues.

He said: “I am disturbed because I expected the NNPC to dwell more on fixed costs but surprisingly you are talking about administrative cost, security, these are variables and even the fixed cost on the long run are also variables which you can also work on them.”

However, the Minister of State for Finance , Clement Agba, intervened by explaining to the committee members that peculiarities cited as reasons for the high cost of oil production, were real .

According to him, the North Sea production cost is higher than that of Nigeria and that as an insider , details of the $21.2per barrel oil production is well calculated.

Aside high cost of oil production , the NNPC officials , were also challenged by the committee to be more opened with their federally funded projects , the totality of which N484billion is voted for in the revised budget.

Source: https://www.sunnewsonline.com/r-e-v-e-a-l-e-d-nigeria-making-only-3-profit-from-oil-barrel/

NORTHERN NIGERIA SHOULD CONTINUE TO BE WAITING FOR CRUDE OIL MONEY.

They their political leaders show no interest in Agriculture.

BUHARI takes pleasure in taking gigantic loans from foreign bodies with the hope of paying back using CRUDE OIL MONEY.

Buhari is only pushing untold hardship to government coming after him.

There must be fraud. I saw on Aljazeera sometime that Nigerias production cost per barrel is about $6-8

nnpc has smart staffs. they should fix it

By fire and force I must leave this country.Even though it's barbaric.Forget racism, dreams and visions are being killed here by wicked, heartless and clueless people.If God grants my request of leaving this zone.In the future the only physical interaction my kids would have with this country is when I take them on excursion to Nigeria from my place of abode abroad.God help Nigerians.

Am not surprised. The oil companies had to put community settlement money, bribe money, money to be moving expatriates around with police escorts, etc as part of their expenditures

Nigeria is a special country

Zyzxx10:
By fire and force I must leave this country.Even though it's barbaric.Forget racism, dreams and visions are being killed here by wicked, heartless and clueless people.If God grants my request of leaving this zone.In the future the only physical interaction my kids would have with this country is when I take them on excursion to Nigeria from my place of abode abroad.God help Nigerians.

Don't waste your resources on excursions bro. Take a lot of photos today and show it to them. Thank me later

apache22b:
This Government of Buhari is so dumb and i am ecstatically delighted and disproportionately flabbergasted with enormous gratification and appreciation for the dispensation of such a tendering and mesmerizing information in which the prestidigitation of the concurrent and subsequent matter is thoroughly demonstrated through the innuances alluding to literal and metaphorical context. It is highly imperative to note that, such is the significance of the aforementioned, distortion in any shape or form will result in catastrophic ramifications to which will be the outcome of epic proportions. I thank you for your unequivocal.

It was $28.99 when Buhari came in.

The process of drilling oil in Saudi Arabia is more sophisticated than in Nigeria yet production cost is far cheaper than same Nigeria...NNPC is the headquarter of corruption in Nigeria some NNPC staff are far richer than senators, Rep. Members and some govs.