Crude Cuts: Stakeholders Hail OPEC Over Nigeria’s Exemption

Stakeholders in the oil and gas sector  recently in Abuja, lauded the decision by the Organisation of Petroleum Exporting Countries (OPEC) to extend crude cuts till April 2018.
OPEC, had earlier in the year, agreed as a cartel to cut daily production of crude to shore up prices.
The cut, which was to end in June, pushed the low all-time-low price to 50 dollars per barrel.
This decision to reduce production was taken at the 172nd Ordinary Meeting of OPEC, which included 11 non-OPEC member countries.
In an interview with The Tide source, the stakeholders said the nation’s continual exemption from the cuts meant Nigeria could keep producing according to its ability.
A  professor of Petroleum Economics and Policy Research and Director of Energy Information Division of the Centre for Energy Studies,  Prof. Wunmi Iledare, said, “the decision translates to an increase in OPEC basket price.
“It may increase revenue for Nigeria.’’
Another stakeholder, Dr Ngozi Anyaegbunam, a consultant in the oil and gas sector, said “Nigeria never met its quota for some time now due to our peculiar domestic issues pipeline vandalism etc.
“So I think the extension for Nigeria is good and what the honourable minister has achieved for the country should be commended.’’
Mr Balogun Ishaya, a political watcher and economic analyst, said “the extension will enable the country to produce what it can and hopefully we can recoup what we lost when the region was restive.