Recent happenings in the Middle East, the unprecedented economic growth in Asia and steady global economic recovery are key pointers to a possible Oil Shock. Oil prices may rise out of control in the very near future if the situation in the Middle East spirals out of control. It takes just one major incidence and the world may not be ready for what is coming. Of course there will be lots of losses and lots of gains. Imagine an oil price of $200. Imagine the aftermath of such prices! Prices may again crash below the $50 mark when the dust settles.

Now here is my major concern: ON WHAT SIDE OF THE EQUATION WILL NIGERIA BE?

There are many possibilities. The extreme cases could be:

1. Nigeria joins in the REVOLUTION FEVER and losses out on the oil rain with both catastrophic and possible constructive consequences or
2. Nigeria remains in the STATUS QUO and reaps all the gains of the high oil prices but the LOOTERS  cart away all the returns or
3. Nigeria is repositioned by the emergence of a proactive and disciplined government to maximize value of the oil rain for the benefit of all

I wonder which it may be! I believe the determinant for us may be what happens at the next polls. The 2011 polls may be the key turning point in Nigeria's history. Lets play our own part at the polls.

Trust Naija we go dull our eyes come lose out for everything.

Countries to watch in Africa

Angola

Sao Tome and Principe

Equatorial Guinea

Gabon

Ghana may be on the winning side of the equation. They've had their fair share of revolution and they seem to have learnt from Nigeria. Let's wait and see how it plays out.

I don't see oil going down to 50 anytime in the near future, unless the economy of China and India fall apart. Demand has just increased dramatically over the years.

eku_bear:

I don't see oil going down to 50 anytime in the near future, unless the economy of China and India fall apart. Demand has just increased dramatically over the years.

Very true. It is more likely to go up and it could reach an all time high very soon. That is where the trouble is. By economic principles after a period when prices spiral out of control, demand reduces and prices crash. That was what happened in 2009. On the other hand, the oil price may attain a new minimum. That is the true Oil Shock. Prices may remain high and not return to the present level. Nobody knows what will happen tomorrow.

I am monitoring closely and oil has risen dangerously close to $120 per barrel already (as at 24 February) amid rising tensions in the Middle East.

Oil strategist at Nomura, Michael Lo, estimates that oil prices could top $220-a-barrel - almost double today's high of $119 - if both Libya and Algeria halt production as a result of political unrest.

http://uk.news.yahoo.com/5/20110224/tbs-prediction-of-oil-price-double-doom-327c223.html

Saudi Arabia (World's largest oil producer) is really trying to prevent a revolution by offering citizens lots of cash to stay calm.
Imagine what will happen to oil price if the revolution creeps into Saudi Arabia? Imagine what a major oil pipeline sabotage in the middle east will do to prices at this time.

Our politicians are too busy about the elections right now that they will blow this opportunity as usual.