I just hope those "shouting country with balls" understand the long term effect of this move by Angola. If everyone chooses to pump crude into the market anyhow, i hope you know this will eventually result into glut that will inadvertently bring price crashing down.

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.

you're right but there will always be a market for OPEC, BRENT, and WTI....yes prices will fall but not so much to push below 65$ in the next 3-5 years.....whatever Angola does they alone cannot supply the entire world and will need to stay within a certain price point if it's to make sense for them....I think rhe country is need of money and would most likely start dealing in Futures contracts to try and get as much upfront cash as they can......also they would be limited based on the quality of oil they can supply, they are all graded and have specific markets that can use which grade.

nairalanda1:


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.

brother , respect does not put food on my table but I would hope we can be cordial and see eye to eye on this non-issue

tojahh:


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

Na you wey bring government into matter by talking about looting.

So I gave you my advice in these matters.

But no matter how we all feel about it, Angola leaving OPEC, means another nation that is free to pump more oil...meaning a glut, meaning lower oil prices, meaning we all suffer.

And yes, my advice still stands because both APC and PDP which you and most here on this site support have not taken us off oil and diversified our economy.

You can't see that though. You just want your side to win.

sukkot:
brother , respect does not put food on my table but I would hope we can be cordial and see eye to eye on this non-issue

Go away, myopic man.

(Not an insult, remember)?

Next time, be careful with your speech.

Very good





Bag of rice is ₦65k
Flight tickets to and fro ₦450k
1 kilo of Turkey is ₦6k
Road transportation is nearly ₦49,500k
Fuel price is now ₦680/litre
Cash is gradually becoming scarce

Na this Christmas una go really understand the meaning of 'SILENT NIGHT'

Kingmadiba2:
If not for OPEC oil producing nations will pump lot of oil into the market without hesitation

The qouta given to oil producing nations tend to stabilize oil prices,If not oil prices could be averaging 20 to 25 dollar per barrel.

that's what some don't understand, the market needs control otherwise it's all chaos.....

LeonSaab:
you're right but there will always be a market for OPEC, BRENT, and WTI....yes prices will fall but not so much to push below 65$ in the next 3-5 years.....whatever Angola does they alone cannot supply the entire world and will need to stay within a certain price point if it's to make sense for them....I think rhe country is need of money and would most likely start dealing in Futures contracts to try and get as much upfront cash as they can......also they would be limited based on the quality of oil they can supply, they are all graded and have specific markets that can use which grade.

My worry is even beyond Angola...it's everyone else who is announcing 'I have found oil'

But the thing is, Angola leaving is significant. If oil is falling on JUST THE NEWS that they left opec, wahala dey. It probably gets worse if they start pumping like crazy...like the Saudis do sometimes.

But we shall see.

nairalanda1:


Go away, myopic man.

(Not an insult, remember)?

Next time, be careful with your speech.

myopic is not an insult. Get over your feelings of persecution. You are not been persecuted here, the truth is that it’s great that everybody is discovering oil while we have the biggest oil refinery in the world. We are about to be rich

nairalanda1:


Na you wey bring government into matter by talking about looting.

So I gave you my advice in these matters.

But no matter how we all feel about it, Angola leaving OPEC, means another nation that is free to pump more oil...meaning a glut, meaning lower oil prices, meaning we all suffer.

And yes, my advice still stands because both APC and PDP which you and most here on this site support have not taken us off oil and diversified our economy.

You can't see that though. You just want your side to win.

E no concern me who win... Angola did the right thing period. Let them pump and manage their oil way they like just as we dey pump and syphon the proceed wey we like over here in Nigeria and OPEC is handicap about it.
Let Nigeria stay with OPEC and keep enjoying their ADVANTAGE

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.

Nigeria needs to go back to heavily mechanized Agriculture and technology, over dependent on oil is no longer helping her growth.

What is their petroleum global market share sef as far as crude-oil is concerned

4ward4:


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.

Angola alone can't put opec in tight corner,opec can crash the oil prices such that Angola can not make any profit from output,they can also place embago on Angola's oil,since most opec members are geographically located along international shipping route.

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.

lol have you checked your production capacity? If you could produce more you think they won't increase your quota? Or it's the kaduna refinery that did not work for one year you want to be using to produce 10 million barrels....dey play

nairalanda1:


My worry is even beyond Angola...it's everyone else who is announcing 'I have found oil'

But the thing is, Angola leaving is significant. If oil is falling on JUST THE NEWS that they left opec, wahala dey. It probably gets worse if they start pumping like crazy...like the Saudis do sometimes.

But we shall see.

many things have happened in the Oil market in the last two days, Angola is just a small part of it.....

sukkot:
myopic is not an insult. Get over your feelings of persecution. You are not been persecuted here, the truth is that it’s great that everybody is discovering oil while we have the biggest oil refinery in the world. We are about to be rich

Myopic man, stop disturbing me.

(Just complimenting you.).

nairalanda1:


Myopic man, stop disturbing me.

(Just complimenting you.).

we are about to be rich bro

HonNL:


SOURCE

Africa nations should exit from OPEC.

LeonSaab:
lol have you checked your production capacity? If you could produce more you think they won't increase your quota? Or it's the kaduna refinery that did not work for one year you want to be using to produce 10 million barrels....dey play

Production of crude oil is different from refining it. Nigeria need to be producing at least 4M bpd. Saudi quota is too much.

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.

you Sabi book and brains like your own is one of the reasons I missed nairaland when it went down

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

You these people sha. Try to learn nah.
OPEC has nothing to do with west. At least if you didn't do govt, economics in secondary school, you did social studies.
All members of OPEC are developing countries that rely on crude oil for survival. The developed nations are not members, they are the major consumers of your crude.

Sevenworldpower:


Production of crude oil is different from refining it. Nigeria need to be producing at least 4M bpd. Saudi quota is too much.

even the production not refining , Nigeria can't meet the current quota allotted to it

Watcharena:
even the production not refining , Nigeria can't meet the current quota allotted to it

Oil theft is a big problem. Most of oils are being sold in black market. If we fix that we should exit OPEC

4ward4:


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.

Defender of the universe, even your own submission is contradicting his own position. While he stated OPEC influence is waning as more and more countries produce oil. You are stating OPEC is even more influential.
Fyi OPEC is only as influential as any country makes them to be, Russia has never been in OPEC but theyake the world sneeze on any of her oil policy. OPEC is only beneficial to Saudi Arabia and the other gulf nations, every other country there is just doing follow follow.

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.

even if oil should sell for 300$ per barrel with still have any positive impact in the lives of Nigerians Rather our politicians will have enough to loot.

nairalanda1:


No matter what you think about me, it remains that an Angola outside OPEC is iminical to our interests.

Also, the palaver is, more and more nations are discovering oil. OPEC in a way is on its way to becoming irrelevant. The more and more oil gets pumped out , the more oil prices fall.

That's why long term, we need to diversify our economy away from oil. It is that simple.

Thank God we are both aligned that OPEC influence is waning and more and more countries will seek pull out and state her own oil terms.
If that's the case why was your earlier submission then centred on it affecting Nigeria to the extent of more borrowings or more taxes on the people. Why are you not stating for Nigeria to dictate her own terms as well.
If glut will reduce the price then let is be, what you will do is to increase supply to earn more revenue. This has been Russia's approach to stay afloat since God knows when.

nigeria need to quit opec,ecowas,au cos no significance at all

Oil high we(poor mases) no benefit e low we still no benefit. I no wan say this oil na curse.

Countries no dey wey Dem no get oyel??

Dem don die?? The answer is Capital NO. Surviving very strong.


But we wey get am, na like eternal suffering.


God help us!!

God help our leaders!!


God save us from our leaders!!!

Pootle:
nigeria need to quit opec,ecowas,au cos no significance at all

no only ecowas and au,add UN join since you want to Isolate

legba1:
I just hope those "shouting country with balls" understand the long term effect of this move by Angola. If everyone chooses to pump crude into the market anyhow, i hope you know this will eventually result into glut that will inadvertently bring price crashing down.

If the price go down. We no suppose buy fuel cheap?? But for naijas the reverse is the case whether e go up or down.



The bottom line is to diversify the economy Tay Tay. But our greedy and senseless leaders think the manner is forever. Now we bear the brunt every now and then.


I hope we get out of this mess!

Watcharena:
no only ecowas and au,add UN join since you want to Isolate

uk no dey isolated since them leave EU

The World is moving completely away from fossil fuel by 2050 to renewable energy yet Nigeria and other African countries are still depending on oil for their revenue waiting for 2050 to come first.

African countries should boost their agricultural and manufacturing sectors now or become a failed states in 2050.