Image

Niger Delta Avengers Reduced Nigeria Oil Production By 800,000bpd And Caused Surge In Oil Price

 

When people are told  that any militant group in the Niger delta is capable of crippling the economy of the entire country of Nigeria, some took the words as fables. This group are yet to conmmence serious attacks and yet our oil production has fallen by massive 800,000 barrel per day. An amount that is very capable is causing sharp global oil price increase.
So, if the war the president is threatening goes ahead and they completely shut down the entire oil production of Nigeria, the global price for oil will surge but Nigeria will be completely left out of it.
That is a very real danger, which is why many have advocated for negotiation with this group rahter than all out war as Buhari wants it.
  • Communities give military 72 hours to release 5 oil workers

From Emmanuel Ogoigbe, Warri

NIGER Delta Avengers (NDA) are said to be cur­rently responsible for ris­ing crude oil prices on the global market.

The militants group has cut Nigeria’s supply drasti­cally, reducing global sup­ply.

The ministry of petro­leum resources put the country’s estimated crude oil output for a major part of 2016 at 2.2 million bar­rels per day.

However, Nigeria is cur­rently producing about 800,000 barrels below its estimated levels for 2016.

Energy Information Ad­ministration (EIA) data has shown that a drop of 500,000 barrels in the sup­ply of the Organisation of Petroleum Exporting Coun­tries (OPEC) oil often leads to a surge in prices.

According to UK Busi­ness Insider: “Oil prices are close to hitting $50 per bar­rel for the first time since November — but it has nothing to do with Saudi Arabia and Iran cutting oil production, as so much of the market has hoped.

“It is all down to Nigerian militants,” the newspaper said yesterday.

Nigeria lost its place as Africa’s largest oil producer earlier in May.

Speaking at the House of Representatives in Abuja on Monday, Minister of State for Petroleum Re­sources, Mr. Ibe Kachikwu said Nigeria is currently producing at 1.4 million barrels per day.

Kachikwu added that Ni­geria’s upstream rigs pro­duction had fallen to zero.

“I do share the senti­ments of many Nigerians, that the country that pro­duces 2.2 million barrels should not be in the busi­ness of importing petro­leum products,” he said.

“We need to begin to look at our upstream, we have unwittingly killed the up­stream. Today, there’s no single rig operating in Nige­ria. All the rigs are gone.

“When the rigs are gone, it means that no meaning­ful exploration can take place.”

Two weeks ago, Shell Nigeria declared force ma­jeure, halting production along its Nembe Creek trunk line.

Meanwhile, Delta com­munities hosting the fa­cilities of Chevron Nigeria Limited (CNL) have denied claims by the military that five persons arrested at the weekend were militants bombing oil and gas facili­ties in the area.

The communities said contrary to the reports, the five alleged militants were contract workers at the American oil giants, inspecting earlier bombed pipelines ahead of the visit of the Joint Investiga­tion Visit (JIV) team to in­spect the extent of damage when the military troops swooped on them.

They stated that the workers were with their identification cards and were ferried to the site in Chevron’s boat, adding that their explanations that they were sent for inspection fell on deaf ears as they were taken to the military base at Koko and locked up.

The communities threat­ened to withdraw all sur­veillance workers, among other workers, working for oil firms in the area, if the military failed to release the oil workers within 72 hours.

Chairman of Kokodiag­bene, Sheriff Mulade, who spoke on behalf of the oil producing communities in the area, expressed dismay over the lukewarm atti­tude of the management of Chevron over the arrest of the workers branded mem­bers of Niger Delta Aveng­ers (NDA).                                                              The Sun

 

http://www.twitter.com/@RNNetwork1

Leave a Reply