bezimo:


I wished I had a little more $$$, I wont have minded investing or partnering with a like minded investor to buy off an oil bloc at this period..
Nevertheless, I must own an oil bloc in this life by Gods grace.

BLWeb:


I agree with you but doing this is going to be in the long term. What i suggest the FG does quickly is to build human resource capacities. Invest heavily in building small businesses and give out loans with zero interest and grants for small businesses to start local production and manufacturing what we need, and also the FG should declare an emergency on agriculture, encourage the youths to go into farming, the positive effect will be a cushion to battle austerity in the long term.

What will work faster is encouraging youths who are starting out as entrepreneurs and give them room to shine, in turn they will train others and the circle keeps on going till the only word we hear is small businesses and entrepreneurship.

dekins:
Economic diversification through what can be termed Nigeria Beyond Oil is what we need through Agriculture, Petrochemical, Mining / Mineral, Gemstone, Metal, Alloy and Energy until Oil and Gas prices hopefully becomes favourable. A diversified economy ensures economic sustainability.

Bevista:
Meaning that, if oil price averages $30 in 2016, Nigeria will earn a profit of around $5pb instead of the expected $13pb (based on budget benchmark of $38).
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This will reduce crude oil revenue from ~880bn to ~N400bn. The low oil price will also have contagion effect on other forms of Tax revenue. Basically, $30 oil price might knock off ~N700bn - ~1tn revenue from the 2016 budget. The worst impact will be felt by state governments who depend largely on FAAC with little or no IGR. Lagos state will, surely, be the most resilient of all states, while the likes of Osun and Ekiti will, practically, declare bankruptcy.
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Lower oil prices will benefit the Saudis the most since their average production cost is around $12. They can comfortably ride oil price to $20, driving other players out of the market and increasing their market share before prices rise again.

bezimo:


If the members continue producing more than their quota, I believe that it would reach a point when its no longer profitable to produce and export, then production and supply would stop, this would certainly affect oil price as it would likely go up.
I think we are getting there.It would be the tipping point, but the issue is the cost of producing crude oil differs among OPEC members. For instance its cheaper to produce crude oil in the middle east when compared to Nigeria or Angola.

Pesuzok:


Reduce your production and loose market share to US and russian.

bezimo:


If the members continue producing more than their quota, I believe that it would reach a point when its no longer profitable to produce and export, then production and supply would stop, this would certainly affect oil price as it would likely go up.
I think we are getting there.It would be the tipping point, but the issue is the cost of producing crude oil differs among OPEC members. For instance its cheaper to produce crude oil in the middle east when compared to Nigeria or Angola.

bezimo:
If OPEC members can corporate and reduce production by 40% or say 35% or a little less, supply would reduce and the oil price would go up, but no member wants to lose its market share.So the situation continues.
Or alternatively if there is crisis in the middle east, the oil prices could bounce back but what would trigger the crisis?

bezimo:
If OPEC members can corporate and reduce production by 40% or say 35% or a little less, supply would reduce and the oil price would go up, but no member wants to lose its market share.So the situation continues.
Or alternatively if there is crisis in the middle east, the oil prices could bounce back but what would trigger the crisis?

OPEC requires a significant control of world's oil output for a cut back to be effective, for now, their 40% control isn't significant enough hence any cut will sacrifice their market share, not in OPEC's interest yet to cut back production.
it's a two prong approach while your sinister way of cutting production may be considered by some desperate countries, it is imperative to know that higher industrial activities will trigger an increased demand, hence an improved price.

Are you by any chance related to Lucifer?

ShowYourCertificate:
Yes. It also means our clueless Buhari should stop wasting our money searching for crude oil in Lake Chad. This is the time Buhari needs to sharpen his economics skills. Maybe he can enroll for O'Level Economics in this oncoming WASSCE

ShowYourCertificate:
Yes. It also means our clueless Buhari should stop wasting our money searching for crude oil in Lake Chad. This is the time Buhari needs to sharpen his economics skills. Maybe he can enroll for O'Level Economics in this oncoming WASSCE

bezimo:


From a business perspective this might be the best time to buy off oil blocs at low prices from owners because oil exploration and production is no longer lucrative for now but we cant say for the future.

aloeman15:
1. Reduced crude prices
2. Reduced crude sales
3. Reduced naira value
4. Subsidized petrol imports
5. Import dependent economy
6. Massive welfare programs
7. Dissonant arms of govt

... So where is money for the 2016 budget coming from? And what is the govt's economic plan of action?
Oh, just a heads up- the fight against corruption has failed.
It was unavoidable really. Pursuing a few people while the rest of the nation continues 'business as usual' was destined to yield little fruit.
Especially since you still haven't jailed a single person...

Omeny:
No think am Boss!

Even if the prices of Oil in the international market falls as low as $2pb, those Oil fields will never be shot-down! Due to many reasons!

anigbajumo:
This country is presently in deep poo,if care is not taken Nigeria Economy is on the verge of cracking down.
This is the time PMB should stop touring the world and work with his team to make positive impact on time.
If am not wrong I think oil represent 13.7% in 2016 budget at 38$ per barrel, now in January is below 30$ per barrel,(100% wrong speculation).

Fiscal federalism is one of the best solution now if we want to help our Economy and diversification of our revenue totally from oil.
Last time I checked, this country is well blessed than eyeing oil alone. We have many mineral resources that can generate huge revenue if it is properly managed.

Empredboy:
what did your PhD president who sold crude oil from over $100 in the better part of 2014 do with the money? Now who is clueless, foolish and "olodoish" between the two? For your information baba had experienced this same situation during his 1st regime in 1983 and that was what brought austerity measure. Listen to fela music or ask Google if you don't believe

Originalsly:
Dangote is smiling ....ear to ear! He has a refinery. ....that's where the money is.... why should he even buy an oil block when the cost of producing crude oil is about the same as the selling price? Several crude oil companies abroad have shut down operations due to the low price. .... Saudi Arabia is making refirms...tightening it's belt to conserve in its financial reserves.... Nigeria needs to divest...real fast and forget about depending on crude to maintain the economy.

scachy:
Nevertheless, campaign promises are non negotiable.
Our politicians always have reasons to deny us our basic needs. Many developed countries had never tested oil and yet they are excelling everyday.
Diversify and get the economy in good shape. We have many alternatives to boost our economy if our politicians are being sincere to us. They all want easy oil money that's y they r lamenting.
Get to work!!
Call me a wailer but I know what am saying

bakynes:

But the North Sea which is btw the UK(Scotland) and Norway is not under OPEC so they sell their oil below OPEC price.

iaatmguy:
ok please enlighten us with your perspective

Pesuzok:

please state the reasons