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!

please state the reasons

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.

bakynes:
It's called Joint Venture partnership and I think it's btw 65% to state owned Oil company ( NNPC) and 35% IOC. Both sell their oil to different customers. They don't sell together and share the profit in that percentage ratio you mentioned.

There are Joint Venture (JV) Contracts and Profit Sharing (PS) Contracts. You need to confirm the JV ratio again. Whatever the contracts, I'm sure it's not 65%. It's either an average of 51% or 59%.

[size=18pt]God news. Now we can have cheap electricity.[/size]

Dreadful:
The innocent bloods of MASSOB and IPOB youths massacred by the zoo military will know no rest till the zoo falls. This is just the beginning, it'll come down to USD5 per barrel. Oil thirsty bastids!!!

What do you think we happen to your region if it falls to that

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.

He meant they shut down due to high cost of exploration.

Nothing dey happen.

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?

Such action by OPEC will achieve nothing but allow the US shale oil companies to sell at a higher price, Saudi tried to put them out of business by flooding the market with cheap oil as they knew shale oil was expensive to make, raising oil prices puts shale oil in the profit margin.

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?

that would mean our government must ensure true federalism so that there isnt much burden on the oil regions...let other states exploit their natural and human resources...when would this country ever think technologically

majekdom2:
why wish for a crisis. OPEC is as weak as what I don't know. Already they are doing more than their quota. Isn't it common sense to have reduced production all these months. That's what you get from an Arab and african organisation.

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.

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.

This is a very practical approach to shift our focus from oil boom to agric boom though it will take a gradual process, if only our leaders will reason in this direction.

WHAT!!!don't u guys try that shit afterall BABA said he will stablize oil price in the FULLNESS of TIME

majekdom2:
why wish for a crisis. OPEC is as weak as what I don't know. Already they are doing more than their quota. Isn't it common sense to have reduced production all these months. That's what you get from an Arab and african organisation.

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

Hmmmn.... Wondering why I studied geology at this holocenic time.., when oil has finally turned into water...economy crashing so bad ....in Don jazzy voice.... Northerners if you want the oil come take am o.
Sobs.

Bevista:
There are Joint Venture (JV) Contracts and Profit Sharing (PS) Contracts. You need to confirm the JV ratio again. Whatever the contracts, I'm sure it's not 65%. It's either an average of 51% or 59%.

Ok maybe thats the old figure will have to cross-check, but you know we don't pay the IOC's in cash we pay them in Oil.

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

No be your clueless brother start the project. Chai, abeg think before you talk o

wonderful news!

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.

Amin and me too

All those who stole the money during the oil boom should be meant to account for it and the Dasukigate members should be meant to refund the money they stole.After collecting the money from them, they should be publicly executed as they have contributed to this present predicament the nation is facing.

Ngozi Okonjo Iweala, GEJ , Deziani and other politicians who contributed to the dwindling economy should be prosecuted.

God safe you Jonathan dat u re not the presido again.
PROTEST WILL COME UP AGAIN.

Thought the leader of the herdsmen said he would stabilize the world's oil price Clueless mofo.

bezimo:

Source:http://www.punchng.com/nigerias-oil-fields-face-shutdown-amid-price-slump/

Why would a private individual own an oil field in Nigeria.
So it means that for every barrel of crude drilled from their field, the government settles them with 30$(for each barrel of crude).

Can you imagine.... What a country.
What kind of country does this.

So it means that few people hijacked the oil of this country for years.

This country is better divided or if the division is not possible, A Confederate system of government would be the best

Some Eeedioticalistic Nairalanders will BLAME me for this International Oil Market Crash

I always laugh when people recommend diversification and condemn looting.


Our problem is not corruption or looting, rather it is incompetency. Give Buhari 100 billion dollars, nothing would be diversified! Recover 1 trillion dollars, they would end up doing nothing with the money.

Let's stop f000ling ourselves. Nigeria is financially buoyant but intellectually poor. We cannot turn money into feasible and enviable industries.

We can do NOTHING with the gold, diamond, etc. We lack intelligence as a nation and all we know is sit behind as lazy analysts and orators that we are to prove our paper and certificate based capacities.

If it is that easy to diversify, then what has Buhari done with the recovered loot so far? How many years would it take to recover loots? How much does he needs to diversify our economy? We have been shouting diversify since 1960, yet nothing tangible has been done.

It is not enough to wish and analyse. I just pity this country. Ordinary salary, we cannot pay. We've got so many resources wasting away, so many idle civil servants earning more than they contribute to their ministries and we seek development?


I hope the UN is ready to feed Osun state, and other Nigerian states?

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

Are you sure its not too late for him at age 73.Lol!!!!
Well If Obasanjo can bag M.Sc at 78 its not too late for Buhari to enroll.

NoreenUG:
Osun civil servants don hear am be dat.

Very shallow thinking.

Make a general statement. Not Osun alone. How many states have enough IGR - not oil relared-to support their workforces, to say even less of embarking on capital projects?

All I can say is the world is playing with fire. This could lead to global energy collapse with its associated problems such as no fuel and total power failure, halt in industries etc. Nigeria's total oil production cost is high due to the fact that multinationals import virtually everytin they use. Its high time the govt looked inwards for technological development

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 are not the only ones supplying, There are alternatives in the market and the economies of demand and supply may not work, because OPEC does not have a monopoly on Oil. However, the tensions btw Saudi Arabia and Iran, and also a continued drop in oil prices might send it up, if the costs eventually cause countries with high production costs to stop producing...But the drop in Oil prices has kinda strengthened the dollar.

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

u want baba to fail again n break new failing record?

[quote author=banio post=42118266]All I can say is the world is playing with fire. This could lead to global energy collapse with its associated problems such as no fuel and total power failure, halt in industries etc. Nigeria's total oil production cost is high due to the fact that multinationals import virtually everytin they use.Its high time the govt looked inwards for technological development[\quote]

@ boldest is Absolutely true!

I may not be a fan of OBJ but his famous letter gave all the warnings. Rather than take pre-cautions the politicians went on thiefing spree, sharing all sharables.....! When the madam said 'all this blood you are sharing' she possibly knew what she was saying. The people we trusted with power shared blood money!

They ignored ploughing money back into developing oilfields and watched as Angola and Ghana stole the show!
LNG development was sidelined.
SWF savings of USD20 billion was 'shared'

We simply did not save for today. We must pray. Nigerians dont realize the implication of oil price falling to $20. It is like carrying your wares to the market, and suddenly realize you have to sell below your cost... or that nobody is buying at your price. In both scenarios, it means returning home with empty pocket. How would you cater for the nation then?

Some have suggested that government should increase taxes and levies. Nothing can be as stupid. It is like your citizens used to earn average 20k and paid you 2k out of it. Now they are making 6k and you want to take 4k out of it. You will be asking for trouble if you do so. Common sense.

In other climes, what government at all levels should be doing is to encourage invetsments and exports from the little we have. Take of the fat bellied 'black and white officers' off the roads and send them to farm instead of harrasing motorists. Well, let me not pretend that I have asnswers to our complex problems. But then we should not continue with business as usual....It is time to encourage SMEs a lot, not by mouth but by deed. Dont ask someone to bring 1 million to obtain licence for pure water. It makes no sense.

Cost of everyhting in Nigeria is too high to promote non-oil exports. High time we woke up!

If we buy the IMF pills of increasing VAT and removing subsidies, we would be asking for real big problems in my opinion.

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

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