Save Austin Fair Yudala banner
Nigeria, others lose $300bn oil investments

By Raji Rasak on 31/07/2017

Share on facebook Yahoo mail icon Gmail icon

Views: 578

•Petroleum Minister of State, Dr Ibe Kachikwu
•Petroleum Minister of State, Dr Ibe Kachikwu

 The Minister of State for Petroleum Resources, Dr Ibe Kachikwu, on Monday lamented the loss of 300 billion dollars in oil investments globally in three years, due to the decline in oil price.

Kachikwu, who stated this at the 2017 Society of Petroleum Engineers’ (SPE) Nigeria Annual International Conference and Exhibition (NAICE) in Lagos, said the losses were in oil exploration and production.

The theme of the conference is: “Building the Waves of Boom and Burst: Common Objectives Diverse Perspective”.

The minister said on the Nigerian side, the loss of these investments was due to inefficiency in the country’s security policy and inconsistency in policies.

According to Kachikwu, investors prefer to invest the limited resources elsewhere in African countries; so what we are losing, other countries in Africa are gaining.

“The situation is very challenging when it comes to losing opportunities arising from investment.

“For the first time in the oil sector, the decline in the oil price resulted into loss of jobs.

“Infrastructural gap is another factor which the decline in the price created.

“We have an infrastructural gap deficit of 50 billion dollars because government was responsible for infrastructure and we did not engage the private sector.

“The whole idea of the new petroleum policy is to move the private sector into financing part of the projects, because Government cannot do it alone,” he said.

The minister said the boom and burst had become the way of life in the oil and gas sector.

“I think we have had about five circles of boom and burst over the last 35 years and each time, we begin as if we did not expect it.

“The boom and burst has become the nature of oil and we should not be surprised anymore.

“Over 80 per cent decline in world oil price was recorded between 2014 and 2016 with oil price falling between 25 dollars per barrel.

“All the same, we have managed through the principles of OPEC, to keep the price going between 45 and 50 dollars per barrel.

“For now, our expectations between the year 2017 and 2018, is to keep the price at 60 dollars per barrel,” he said.

Kachikwu, however, said some countries and people were moving away from oil.

He said that electric motors were taking over globally.

“In the next 20 to 25 years, oil lifespan will expire, so we just need only five years to make a change of policy in the sector.

“We must make a traumatic decision for the oil sector to survive the innovation.

“The country needs a consistent policy and to deal with inefficiencies in our system to survive the trend,” he said.

Welcoming the participants, Mr Saka Matemilola, the Chairman, SPE Nigeria Council, said the mission of the conference was to disseminate information as regards the oil and gas sector.

Matemilola said petroleum sector remained the main focus of the national economy.

He said the current challenges in the oil sector provided the necessary catalysts to provide opportunities for the country. (NAN)

 

Source News Express

Posted 31/07/2017 8:47:20 PM

 

Share on facebook Yahoo mail icon Gmail icon


 

CLASSIFIED ADS

Loss Off Your Belly Fats, Upper Arm Fat and Body Fats In 2weeks Time.. Click HERE To Start Now!

Let us build the most comprehensive online database of worthy and credible Nigerians from all walks of life. It is worth doing!

 

You may also like...
Ethnic war rocks Kafanchan (Kaduna), 24-hour curfew declared...

Twist in the tale: Northern delegates back out...

NLC criticises upsurge in casualisation of workers

Baptism of fire: Louis van Gaal off to...

Delayed rains may affect food production this year,...

Commotion as mobile policeman opens fire after quarrel...

North beating South with a wide margin in...

“What African countries must do to reach that...

Obi throws light on terrorism trends in Anambra...

FRSC raises alarm over excesses of VIP convoys,...

Alex Otti to Abians: ‘It’s not all lost:...

Apostle Suleman shuns DSS invitation •Stands by his...

 

Latest News Nigerian professionals unfold plans to create one million jobs Investigation: How Chinese firm is degrading Abia community, officials sexually exploiting female workers Probe reveals N30b oil revenue ‘hidden’ by NNPC Bankers Committee to create 100,000 jobs by first quarter of 2018 Rate of poverty in Alabama (USA) shocking — UN official Ekweremadu, PDP behind Nigeria’s debt profile — VON DG Ijaw, monarch, Edo at war over Okomu land ownership Osun Govt. seeks vacation of court order stopping federal allocation to LGs Oil prices drop on increased US drilling activity Sponsors, investors queue up for One Lagos Fiesta PDP’s umbrella without the South-West will suffer punctures 500 NYSC members get loans to set up businesses

 

Most Read Nigerian female sex addict opens up, says ‘I like it with both men and women’ (300,596 views) NUDE PHOTO OF OMOTOLA JALADE-EKEINDE surfaces online (285,258 views) Shameless Genevieve Nnaji exposes breasts in public (230,193 views) Finally named: The full list of friends of Nigerian female sex addict who prowled Facebook (193,138 views) Igbo scholar disgraces Femi Fani-Kayode •Demolishes claims on Igbo/Yoruba history with facts and figures (183,270 views) OLUMBA OLUMBA OBU (the one who called himself God) IS DEAD (169,888 views) Breaking News: POPULAR REVEREND CONVERTS TO ISLAM in Kaduna (Nigeria) (147,058 views) THE FINAL DISGRACE: Igbo scholar unleashes more facts about Igbo/Yoruba history, finishes off Femi Fani-Kayode with second article (132,305 views) OBJ’s son reported dead in Lagos plane crash •Names of more victims emerge (130,458 views) Lagos plane crash: Journalist releases victims’ names (118,942 views) Gunmen kill ASP, 2 other police officers in vain bid to kidnap Rivers PDP chieftain (115,406 views) My wasted years in Olumba Olumba Obu’s Evil Brotherhood (111,891 views)

 

Categories Advertorials (3) African Press Organisation (81) Art & Literature (33) Business (2,813) Business Verdict (27) Columnists (776) Complaints & Requests (94) Enterprise & Opportunities (193) Entertainment (419) Features (522) Global Business Monitor (192) International (1,685) Interviews (138) Live Commentary (28) Love Matters (92) News (30,928) Opinion (844) Pidgin (9) Politics (4,206) Religion (653) Sports (1,379) Stock Watch (25) AMA & Al Jazeera Global Update

 

CBN Banner advert

CBN Words on marble

 

 

MOBO Awards

 

APO Group Partner

 

CLASSIFIED ADS

Let us build the most comprehensive online database of worthy and credible Nigerians from all walks of life. It is worth doing!

Loss Off Your Belly Fats, Upper Arm Fat and Body Fats In 2weeks Time.. Click HERE To Start Now!

GOCOP Accredited Member

GOCOP Accredited member

 

 

Africa Media Agency and Al Jazeera

Advertisement



 

 

CLASSIFIED ADS

Loss Off Your Belly Fats, Upper Arm Fat and Body Fats In 2weeks Time.. Click HERE To Start Now!

Let us build the most comprehensive online database of worthy and credible Nigerians from all walks of life. It is worth doing!