Why Nigeria can’t meet OPEC quota – Sylva

The Minister of State for Petroleum Resources, Chief Timipre Sylva, has attributed the inability of Nigeria to meet the Organisation of the Petroleum Exporting Countries (OPEC) to a lack of investments in the oil and gas sector of the economy.

Nigeria’s OPEC quota is pegged at 1.8 million bpd but in the last few years, the country has struggled between 1.3 and 1.4 million bpd.

Speaking at a ministerial plenary, at the ongoing Ceraweek, in Houston, Texas, Sylva said the speed with which international oil companies and other investors were withdrawing investments in hydrocarbon exploitation has contributed significantly to Nigeria’s inability to meet OPEC target.

A statement that his Senior Adviser (Media & Communications), Horatious Egua, quoted him as saying: “the rate at which investments was taken away was too fast. Lack of investment in the oil and gas sector contributed to Nigeria’s ability to meet OPEC quota. We are not able to get the needed investments to develop the sector and that affected us.”

He also cited security challenges as another major factor that contributed to the lack of significant growth of the sector in the country and added that the drive towards renewable energy by climate enthusiasts has discouraged funding for the sector.

Sylva however called for a change of attitude, stressing that in decades to come hydrocarbon will continue to play a central role in meeting the energy needs of the world.

(Nation)