VenturesNow

Nigeria’s oil extraction fields rise to 246

Published

9 months ago

March 31, 2024

According to the Nigerian government, the nation can now extract crude oil from more than 246 fields, and runs 188 platforms and production stations.

Since Shell Darcy made the nation’s first commercial oil find in Oloibiri, Bayelsa State, in 1956, Nigeria’s oil-producing fields have been expanding, according to data gathered from the Nigerian Upstream Petroleum Regulatory Commission, an agency of the federal government.

The Nigerian upstream oil and gas landscape has expanded since 1956 with the building and installation of various oil and gas facilities, according to a portion of the NUPRC document, which focused on stability in the oil sector.

“With over 246 producing fields, 2,777 producing strings, 188 production stations/platforms, four gas terminals, five land terminals, 11 FSOs (Floating Storage and Offloading Units), 18 FPSOs (Floating Production Storage and Offloading), and several other facilities at various stages of development, Nigeria is poised to boost production and enhance energy security.”

According to OPEC data, the number of oil rigs in the nation rose from 15 in January to 16 in February, a development that industry participants deemed noteworthy for crude output.

An oil rig is a sizable building equipped with machinery for extracting and refining natural gas and petroleum from subterranean rock formations. Nigeria, a nation abundant in gas and oil, drills for crude oil every day to be exported from both onshore and offshore sources. Since oil accounts for more than 80% of its foreign exchange earnings, the quantity of operational oil drilling rigs around the nation is essential.

Concurrently, the commission stated in the most recent NUPRC report that purposeful safeguarding of oil and gas assets was critical in light of the nation’s ongoing security issues. It stated that the nation’s oil resources are essential to the country’s economy, citizen welfare, and sustainable development.

“Although the actual national production currently averages 1.33 million barrels of oil per day and 256,000 barrels of condensate per day, the national technical production potential currently stands at 2.26 million bpd, while the current OPEC quota is 1.5 million bpd.

“Closing the gap between the actual oil production and the technical potential presents a significant opportunity for Nigeria to unlock additional revenue streams, address the current foreign exchange gap and strengthen her economic resilience.

“Enhanced security for oil and gas infrastructure and transportation facilities is a fundamental component of achieving this goal,” the commission stated

Related Topics:Featured Nigeria Oil Exploration

Click to comment

VenturesNow

IMF, Egypt reach agreement for fourth review of Egypt’s $1.2 billion loan request

Published

3 days ago

December 26, 2024

Ifeoluwa Dada

Egypt and the International Monetary Fund (IMF) have reached a staff-level agreement over the fourth review of the Extended Fund Facility arrangement, which might lead to a $1.2 billion payout under the program.

In March, Egypt, struggling with rising inflation and cash shortages, consented to the $8 billion, 46-month facility. Its economic problems were made worse by a precipitous drop in Suez Canal revenue over the last year due to regional tensions.

Over the next two years, Egypt’s government has committed to raising its tax-to-revenue ratio by 2% of GDP, according to the IMF, emphasising removing exemptions rather than raising taxes.

According to a statement from the IMF, this would allow it to expand social expenditure to support vulnerable populations.

“While the authorities’ plans to streamline and simplify the tax system are commendable, further reforms will be needed to enhance domestic revenue mobilization efforts,” the statement said.

According to the IMF statement, Egypt had also committed to maintaining its commitment to a flexible currency rate and to taking more urgent action to guarantee that the private sector became the primary driver of development.

The IMF’s executive board still has to accept the fourth review’s staff-level agreement.

VenturesNow

Libya’s eastern govt accepts petrol subsidy elimination

Published

3 days ago

December 26, 2024

Ifeoluwa Dada

In a recent statement, the eastern government of Libya claimed it had reached a consensus on a plan to eliminate gasoline subsidies and would draft a mechanism to carry out the accord.

Additional information on the idea was not released by the administration led by Osama Hamad, a challenger to the internationally acknowledged Tripoli-based government.

However, it is uncertain if Hamad’s government would be able to carry out the plan in the divided nation.

According to the Global Petrol Prices online tracker, a litre of gasoline costs just 0.150 Libyan dinars ($0.03) in OPEC member Libya, making it the second-cheapest in the world.

Following an uprising against former ruler Muammar Gaddafi in 2011, smuggling networks have thrived in the ensuing political unrest and armed fighting. In 2014, conflicting eastern and western governments separated the nation.

A World Bank analysis estimates that the annual value of fuel smuggling from Libya is at least $5 billion.

In a meeting with Mari Barrasi, the deputy governor of the Central Bank of Libya (CBL), located in Tripoli, and four members of the bank’s board of directors, Hamad in Benghazi supported the idea of removing subsidies.

The CBL’s Benghazi branch offices served as the venue for the conference.

The eastern parliament appointed Hamad in 2023 to succeed Abdulhamid Dbeibah, who had been put in position in 2021 under a U.N.-backed procedure that the parliament said had lost its legitimacy.

Dbeibah, who is located in Tripoli, stated in January that he will conduct a public poll on the topic of eliminating gasoline subsidies, but he hasn’t done anything about it since.

According to CBL figures, gasoline subsidies cost 12.8 billion Libyan dinars between January and November of this year. 4.8 Libyan dinars to $1 is the official exchange rate.