The recent escalation of the crisis in the Niger Delta to a full-scale war is threatening crude oil production and investments in the country. MARTIN AYANKOLA examines the issues involved and the implication for the country in this report.
Shell discovered oil in Oloibiri in present day Bayelsa State in 1956 and the country exported its first cargo of crude oil in 1958. Between then and now, the Nigerian oil industry has grown in leaps and bounds with the nation having the ability to produce three million barrels of crude oil daily, but the Niger Delta crisis and the Organisation of Petroleum Exporting Countries’ quota, has limited production to just over 1.7 million barrels per day. Although more than 80 per cent of Nigeria’s foreign exchange comes from crude oil, the overall impact of the resource on the nation’s Gross Domestic Product has been minimal.
Full Story: N'Delta crisis crippling oil and gas sector - The Punch
Shell discovered oil in Oloibiri in present day Bayelsa State in 1956 and the country exported its first cargo of crude oil in 1958. Between then and now, the Nigerian oil industry has grown in leaps and bounds with the nation having the ability to produce three million barrels of crude oil daily, but the Niger Delta crisis and the Organisation of Petroleum Exporting Countries’ quota, has limited production to just over 1.7 million barrels per day. Although more than 80 per cent of Nigeria’s foreign exchange comes from crude oil, the overall impact of the resource on the nation’s Gross Domestic Product has been minimal.
Full Story: N'Delta crisis crippling oil and gas sector - The Punch
