Wednesday, 24 October 2012

Floods In Nigeria: FG Loses N6.75Billion Oil Revenue Daily



nigeria_total In view of the recent floods in Nigeria that have plagued several areas of the country particularly the oil-rich Niger Delta, reports have emerged that Nigeria is losing about $43million  or N6.75billion daily to production cut back. Industry regulator, Department of Petroleum Resources (DPR) announced that the country’s daily production fell by about 18 per cent from 2.6million barrels daily to 2.1 million barrels per day, even as it plans to hold a new licencing round by the year end to boost production reserves. In a related development, Shell, Nigeria’s biggest producer, last week declared force majeure, a legal condition which frees it from contractual obligations on Bonny Light and Forcados exports, two of the country’s most important oil grades, which accounted for 427,000 bpd or 20 per cent of the nation’s total exports of 2.048 million bpd in October.

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