They will sell at gbanjo half price Europe will be happy with this they will want more country to leave so crude oil will be cheap

nairalanda1:
Anyone hailing Angola on leaving OPEC...should know it is bad news for Nigeria.

Oil prices fell on the news. Know what that means? It means Angola is free to produce and pump as much oil as it wants without any pesky OPEC quota...which means lower oil prices long term because of the resultant glut.

Angola is also free to sell crude at a lower price than the OPEC benchmark if it wants...especially if it needs the money now. (That's part of how Russia survives US sanctions, sports fans).

This weakens our revenue stream drastically, meaning we have to take more and more loans, or the government would have to raise your taxes well well, in the short term at least.

So, don't rejoice.

Modified

The thing that even scares me is the fact that eveyrone is discovering oil. Zambia, Uganda and even Benin have all found oil. Yes, it is not as high as Nigeria, but more oil in the market means lower prices for oil...which means lower revenue.

See as you explain am in a very simple way.True true .education is not a scam

oladipupo2234:
Africa go get sense by force.

How can Saudi Arabia be producing 10mbpd daily while you reduce production quota for a poor african country that produce barely 1 million barrel daily?

Where is thr fairness?
Nigeria shoulf also exit OPEC.

Nigeria is not even meeting with the production output allorted to us.

So if the opec give production output to African nations that we can't meet up,then the oil prices will not be regulated.

Again to e leaders of the opec are allies even without opec,Saudi Arabia and Russia alone can influence oil prices. If opec break out na afran members go suffer because most of our oil production is done by foreigners this not cost effective. Russia for instance will still make gain even if oil prices falls by 40% in today's price Nigeria on the other hand will not make any gain

israelmao:
Bold step.Enough of being tied to the apron string of the west in all matters and decision-making.

OPEC is not the west.

daveP:
Now can the African members get sense and do something smart? Or they still dragging feet?

Why does African countries have to export crude which price they have no control over? Why not export petrol, diesel, kerosene, aviation fuel, paraffin, fertiliser, etc instead? Items you can determine the price you want to sell.

israelmao:
Bold step.Enough of being tied to the apron string of the west in all matters and decision-making.

West no dey like OPEC.

OPEC is why for part of the 1970's, there were fuel queues in the USA, with rationing atimes. Because crude prices were so high, it meant fuel cost far far too much for the average consumer..lol.

West would love it if OPEC died. Infact the USA is free of OPEC shackles...ever since they became self sufficient in oyel under trump.

nairalanda1:
Anyone hailing Angola on leaving OPEC...should know it is bad news for Nigeria.

Oil prices fell on the news. Know what that means? It means Angola is free to produce and pump as much oil as it wants without any pesky OPEC quota...which means lower oil prices long term because of the resultant glut.

Angola is also free to sell crude at a lower price than the OPEC benchmark if it wants...especially if it needs the money now. (That's part of how Russia survives US sanctions, sports fans).

This weakens our revenue stream drastically, meaning we have to take more and more loans, or the government would have to raise your taxes well well, in the short term at least.

So, don't rejoice.

Modified

The thing that even scares me is the fact that eveyrone is discovering oil. Zambia, Uganda and even Benin have all found oil. Yes, it is not as high as Nigeria, but more oil in the market means lower prices for oil...which means lower revenue.

Wetin we dey use the revenue do? E no better we get lower revenue than getting higher revenue for the stomachs of the elites and politicians?

DeepSight:

OPEC is not the west.

Thanks for the correction.

tojahh:

Wetin we dey use the revenue do? E no better we get lower revenue than getting higher revenue for the stomachs of the elites and politicians?

It is because you have not lived in a situation where oil prices have really really crashed...like in the 1980's for example.

israelmao:
Bold step.Enough of being tied to the apron string of the west in all matters and decision-making.

Interestingly no western nation is a member of OPEC. West is anti OPEC, they want free market where market forces determine price and not cartel members which OPEC represents.

Just because you don't like the West does not mean you won't educate yourself as regards to this subject matter before commenting in ignorance . The west has nothing to do with OPEC, they want OPEC dead so that they can buy crude oil cheaper because at that point competition and market forces will be able to drive prices down leading to surplus balance of payments for their economies.

OPEC has more do to with the East and not the West please take not of that

Olokolobo:
Na only Nigeria no get shame.

No Nigeria is playing the patient game, by building it's own refinery. If all the refineries in Nigeria start working we won't depend on exporting crude anymore

ExudeLoveToAll:



Interestingly no western nation is a member of OPEC. West is anti OPEC, they want free market where market forces determine price and not cartel members which OPEC represents.

Just because you don't like the West does not mean you won't educate yourself as regards to this subject matter before commenting in ignorance . The west has nothing to do with OPEC, they want OPEC dead so that they can buy crude oil cheaper because at that point competition and market forces will be able to drive prices down leading to surplus balance of payments for their economies.

OPEC has more do to with the East and not the West please take not of that

Exactly

USA is self sufficient in crude oil because OPEC showed them shege in the 1970's. That woke the USA up....and made them get self sufficient in crude.

nairalanda1:
Anyone hailing Angola on leaving OPEC...should know it is bad news for Nigeria.

Oil prices fell on the news. Know what that means? It means Angola is free to produce and pump as much oil as it wants without any pesky OPEC quota...which means lower oil prices long term because of the resultant glut.

Angola is also free to sell crude at a lower price than the OPEC benchmark if it wants...especially if it needs the money now. (That's part of how Russia survives US sanctions, sports fans).

This weakens our revenue stream drastically, meaning we have to take more and more loans, or the government would have to raise your taxes well well, in the short term at least.

So, don't rejoice.

Modified

The thing that even scares me is the fact that eveyrone is discovering oil. Zambia, Uganda and even Benin have all found oil. Yes, it is not as high as Nigeria, but more oil in the market means lower prices for oil...which means lower revenue.

Isn't that a call for us to diversify our revenue source?

nairalanda1:


It is because you have not lived in a situation where oil prices have really really crashed...like in the 1980's for example.

Few months after Buhari took over in 2015, oil prices crashed to almost $30.

Charliewyt:

Isn't that a call for us to diversify our revenue source?

Indeed it is. We so rely on oil that anytime oil prices fall, our economy gets into a super comatose state.

nairalanda1:
Anyone hailing Angola on leaving OPEC...should know it is bad news for Nigeria.

Oil prices fell on the news. Know what that means? It means Angola is free to produce and pump as much oil as it wants without any pesky OPEC quota...which means lower oil prices long term because of the resultant glut.

Angola is also free to sell crude at a lower price than the OPEC benchmark if it wants...especially if it needs the money now. (That's part of how Russia survives US sanctions, sports fans).

This weakens our revenue stream drastically, meaning we have to take more and more loans, or the government would have to raise your taxes well well, in the short term at least.

So, don't rejoice.

Modified

The thing that even scares me is the fact that everyone is discovering oil. Zambia, Uganda and even Benin have all found oil. Yes, it is not as high as Nigeria, but more oil in the market means lower prices for oil...which means lower revenue.

Modified 2

Know who benefits from a glut induced low crude price? Europe and the USA. It enables fuel prices there to fall, and their governments benefit as a result.

If that is the case we should diversify and heavily invest into other sectors like agriculture, manufacturing, or tourism which has a potential employing more people and giving us a balanced of trade when we export our produce. Crude oil is no longer viable in the long run.

nairalanda1:


Exactly

USA is self sufficient in crude oil because OPEC showed them shege in the 1970's. That woke the USA up....and made them get self sufficient in crude.

You are right, the 70s was hellish for them.

wirinet:

Few months after Buhari took over in 2015, oil prices crashed to almost $30.

And the man took loans to cover our nation's ass. Loans galore.

coleon:

As usual I was expecting your half baked, ill thought analysis on issues. Why should Angola's foreign policy affect Nigeria if Nigeria is a functional country? Angola's oil reserve is not as much as Nigeria and both Angola and Nigeria were given lower quota. Angola had the nerve to pull out and sell oil at her own terms but Nigeria with more oil reserve than Angola cannot take such bold step.
Should that be the fault of Angola or Nigerian citizens? Why should that burden now be passed to innocent citizens in the name of excessive borrowing and excess taxation as stated by your ill thought analysis. If the government is bereft of ideas and cannot take bold decisions then according to you they should borrow or tax the citizens more abi.
You are always coming online to give ignorant and ill thought out analysis.

go read his analysis and stop typing thrash!!!
Opec isn't just an Association of name, that organization have such much influence and I doubt if Angola will ever sell crude up to their price benchmark to remain relevant in the sector. Cheaper crude will be sold by Angola, thereby putting Opec countries in a tight corner.

ProphetofOdin:


If that is the case we should diversify and heavily invest into other sectors like agriculture, manufacturing, or tourism which has a potential employing more people and giving us a balanced of trade when we export our produce. Crude oil is no longer viable in the long run.

True that. Nothing more to add.

nairalanda1:
Anyone hailing Angola on leaving OPEC...should know it is bad news for Nigeria.

Oil prices fell on the news. Know what that means? It means Angola is free to produce and pump as much oil as it wants without any pesky OPEC quota...which means lower oil prices long term because of the resultant glut.

Angola is also free to sell crude at a lower price than the OPEC benchmark if it wants...especially if it needs the money now. (That's part of how Russia survives US sanctions, sports fans).

This weakens our revenue stream drastically, meaning we have to take more and more loans, or the government would have to raise your taxes well well, in the short term at least.

So, don't rejoice.

Modified

The thing that even scares me is the fact that everyone is discovering oil. Zambia, Uganda and even Benin have all found oil. Yes, it is not as high as Nigeria, but more oil in the market means lower prices for oil...which means lower revenue.

Modified 2

Know who benefits from a glut induced low crude price? Europe and the USA. It enables fuel prices there to fall, and their governments benefit as a result.

oh ye myopic son of Umunede, it’s great news that everybody is now discovering oyel. But you know what everybody does not have ? A refinery. Nigeria would soon be the hub of oil refining in Africa. With Dangote and port harcourt refinery back in business. The country will be awash with forex. Naira will rise to like 1 Naira to 100 dollars, fuel will be cheap to buy. Nigeria is the future global superpower. Everybody knows it but Nigerians

sukkot:
oh ye myopic son of Umunede, it’s great news that everybody is now discovering oyel. But you know what everybody does not have ? A refinery. Nigeria would soon be the hub of oil refining in Africa. With Dangote and port harcourt refinery back in business. The country will be awash with forex. Naira will rise to like 1 Naira to 100 dollars, fuel will be cheap to buy. Nigeria is the future global superpower. Everybody knows it but Nigerians

Ah well, the chap started with an insult, so I respond by bidding him gluten abind.

nairalanda1:


Ah well, the chap started with an insult, so I respond by bidding him gluten abind.

lol not an insult. Lil jokey joke

sukkot:
lol not an insult. Lil jokey joke

It was an expensive joke, and I was not laughing.

nairalanda1:


It was an expensive joke, and I was not laughing.

are you from Umunede ? It’s an actual place

sukkot:
are you from Umunede ? It’s an actual place

If I started every comment to everyone here by calling them myopic, I'm sure they would all laugh with me...hehhe he is joking.

Anyway, good evening.

Excellent move by the Southern African country.More and more nations across Africa are beginning to liberate themselves from Western influence, some by military coups, some by economic and diplomatic boycotts, bypassing and ignoring.
La Republica de Angola would fare much more better without the OPEC

nairalanda1:


It is because you have not lived in a situation where oil prices have really really crashed...like in the 1980's for example.

Even at that year... It was still looted. So no difference!

tojahh:


Even at that year... It was still looted. So no difference!

So, go into politics and make a change, and stop voting PDP, APC, and LP, AND nnpp.

There are 11 other parties. Why not choose one?

nairalanda1:


If I started every comment to everyone here by calling them myopic, I'm sure they would all laugh with me...hehhe he is joking.

Anyway, good evening.

myopic is an insult ? How is myopic an insult ? It perfectly describes your shortsightedness to the topic but it’s not an insult. An insult would be YOU ARE VERY FOOLISH. This how many Africans go to the UK starting non-existent wars with white people because they feel they were insulted when the white man says DONT BE SILLY. But don’t be silly is just normal non abusive conversation over there

nairalanda1:


So, go into politics and make a change, and stop voting PDP, APC, and LP, AND nnpp.

There are 11 other parties. Why not choose one?

I don't need to go into any politics to make any change. The topic is, Angola did a nice thing pulling out of the fraudulent OPEC that's of no use to the Nation building (Revenue)

Let's stick to the topic

sukkot:
myopic is an insult ? How is myopic an insult ? It perfectly describes your shortsightedness to the topic but it’s not an insult. An insult would be YOU ARE VERY FOOLISH. This how many Africans go to the UK starting non-existent wars with white people because they feel they were insulted when the white man says DONT BE SILLY. But don’t be silly is just normal non abusive conversation over there

Good evening, myopic man.

(You said it was not an insult)

Thanks for being myopic,

I really used to respect you as an older nairalander, you know.

Don't quote me again.