Stats: 3,191,146 members, 7,943,116 topics. Date: Sunday, 08 September 2024 at 06:22 AM |
Nairaland Forum / Nairaland / General / Politics / Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob (3053 Views)
Pictures Of The Burnt Ariaria Police Station By Ipob Youths / Okorocha Spotted On A Train In London After Being Embarrassed By IPOB. Photo / Buhari's 2016 Budget Speech: “the Budget Of Change” (2) (3) (4)
Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by chosen04(f): 8:15am On Dec 24, 2015 |
With respect to the recent Budget presentation by the Nigerian Junta Head, Gen. Mohammed Buhari for the 2016 fiscal year, the Coodinator of All Coordinators (COC) and the Spokesman of Indigenous People Of Biafra (IPOB), went on his facebook page to deconstruct Buhari's lies. Excerpt: . . DECONSTRUCTING BUHARI'S 2016 BUDGET OF LIES & DECEIT----Part-1 According to Retired Major General Muhammadu Buhari: "2016: Budget Assumptions; After reviewing the trends in the global oil industry, we have set a benchmark price of $38 per barrel and a production estimate of 2.2 million barrels per day for 2016. In 2016, oil related revenues are expected to contribute N820 billion." IPOB'S DECONSTRUCTION BUHARI'S LIES: 1 barrel of crude oil = $38 Estimated production per day = 2.2 million Gross earning per day based on $38 per barrel = $83.60 million Gross earning for entire 2016 (365 days) = $30.514 billion 2016 Gross earning in Naira (assuming $1 = N200) = N6.1028 trillion But, according to Buhari, Expected revenue from oil = N820 billion Difference between Gross earning and Expected revenue = N5.2828 trillion Percentage of Expected revenue to Gross earning = 13.44% Percentage of the Difference to Gross earning = 86.56% QUESTIONS BY IPOB: 1) What is the total amount, per barrel, of crude oil that comes to Government after sales, that is, after removal of the cost of operation/production? 2) How did Buhari and his gangs come up with the 2016 Expected revenue of N820 billion when the 2016 Gross earning from oil, based on $38per barrel, will be N6.1028 trillion? 3) Can Buhari and his gangs explain what happened to the difference between the 2016 Gross earning and 2016 Expected revenue which stands at N5.2828 trillion? If N820 billion (13.44% of Gross earning) is the net, then is N5.2828 trillion (86.56% of Gross earning) the cost of production for the 803 million barrels? 4) Is Buhari with his gangs telling his Nigerian people that out of N6.108 trillion, Nigeria will only receive N820 billion? And if so, why? what happens to the remaining N5.2828 trillion or is that the cost of producing 803 million barrels of oil in the course of 365 days? If so, how did that N5.2828 trillion cost come about? 5a) Even if we go by the Expected revenue of N820 billion and crude oil production of 2.2 million per day for 365 days totaling 803 million barrel in 2016, calculations with respect to Expected revenue of N820 billion show a projected revenue of N1,021.17 per barrel or $5.106 per barrel (assuming $1:N200 ratio). So, is the expected net income that comes to Government for 2016 going to be $5.106 per barrel after selling the crude oil at $38 per barrel? 5b) Where is the difference of $32.894 per barrel going to? 5c) Is $32.894 the cost of overheads in producing one barrel of crude oil? 5d) If not, then into who's account, has this $32.894 per barrel gone? IPOB is asking Buhari and his gangs!!! Source: www.thebiafratimes.co/2015/12/deconstructing-buharis-2016-budget-of.html 3 Likes 2 Shares |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by chosen04(f): 8:17am On Dec 24, 2015 |
The Zoo-niGERia is full of liars and lieing govt. 1 Like |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by Young03(m): 8:23am On Dec 24, 2015 |
Chosen04.. Dats only if sewu and co will not close ds thread besides, buhari didnt go to schoool,so those he employed as economists ar deceiving him, i pray i will be around to watch how it will unfold den 3 Likes |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by agabaI23(m): 8:28am On Dec 24, 2015 |
After the cost of production is removed, the profit is shared 51-49% FG-multinationals I think. What you may want to know is the actual cost of production. The 820b may be the 51% of the profit. 2 Likes |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by EternalTruths: 8:29am On Dec 24, 2015 |
chosen04: It is to deceive Nigerians that APC is diversifying the economy ![]() The next thing you will see is that they will falsify figures that the SW contributed most of the non oil revenue Yet when the price of oil dwindles the SW governors will be the first to suggest reduction in minimum wage causing the wise ones to ask about the bogus non oil wealth attributed to the SW ![]() 8 Likes 1 Share |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by Bevista: 8:33am On Dec 24, 2015 |
I'll help cure your ignorance, not for your sake but for the sake of others that may stumble on this junk. First of all, there is a Joint Venture Contract (JVC) and Profit Sharing Contract (PSC) between the Nigerian Government and the International Oil Companies (IOCs). While there are slight variances in each of the contract, the Nigerian State has an average of about 59% stake in the contracts. When oil is sold for $38, the Nigerian State only has around 59% of that total figure. Secondly, the amount that comes to the Nigerian State goes into the Federation Account to be shared to all tiers of government. The Federal Government has only around 54% of this amount. Now let's deconstruct your figures again: --- (1) Gross earnings for entire 2016 = $30.51bn (2) Nigerian share in Dollars (59%) = $18.00bn (3) Budget Naira Exchange Rate = N197/$ (4) Nigerian share in Naira = N3.54tn (5) 13% to Oil Producing States = N461bn (6) Balance in Federation Account = N3.083tn (7) Federal Government Share (54%) = N1.66tn The figures above are GROSS figures. You'll have to discount the COST OF PRODUCTION to arrive at a NET figure for the Federal Government. 14 Likes 1 Share |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by IdisuleOurOwn(m): 8:39am On Dec 24, 2015 |
I thought ipod is a seccesionist group. Why are they obessed with the activities of the "zoo"? 8 Likes |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by obasiken: 8:42am On Dec 24, 2015 |
This is why NNPC is operated like a cult. Can u imagine that even AGIP still uses microsoft excel to calculate volume of oil pumped from nigerian oil wells. This is done to manipulate figures. So we are not even sure of the 2.2m bdp. The remaining 32 usd will be share by the oil company, nnpc,presidency, nigerian navy (escorting the vessel) local chiefs..... 3 Likes |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by Nobody: 8:56am On Dec 24, 2015 |
chosen04: The IPOB guy did not understand the budget. let me help him explain. 1. The Federal government budget is the Budget of the federal government alone. Not the Budget of the country. Thus from the Nigeria sharing formula, the Federal government takes about 54% of the total oil revenue accruing to the country (Nigeria Federation). 2. Most of the oil production in Nigeria are JV and PSC. Using the JV template, Nigeria (the federation not Federal govt) only owns 60% of the oil produced and the Oil companies owns the remaining 40% of the oil produced per day . thus the 2.2 million per day, only 0.6*2.2million=1.32million belong to Nigeria (The federation). Federal govt share (Potential) = 0.54*1.32million=712,800 per day. 3. The actual average production per day is about 80% of the Potential production this is because of 20% shutdown for maintenance, unplanned shut downs, pipeline vandalisation etc. Thus the Federal govt actual average production per day = 0.8*712,800=570,240. 4. Today the average cost of production per barrel in Nigeria is about $18 per barrel. Actually some onshore field cost are as low as $10 per barrel while some deep offshore and shallow offshore cost are as high as $25 dollar per barrel. Today more than 60% of Nigeria crude are from Offshore. thus using an average cost of $18 per barrel is realistic. Thus out of the $38 dollar per barrel price of oil, the net revenue to the govt is about $20 per barrel. thus the expected revenue to federal government from direct sales of Crude oil in 2016 is: = $20 *199naira/1$ *570240*366*billion/1000000000= 830billion naira From my estimation the Federal government expected revenue from direct oil sales is about 830billion naira which is very close to 820 billion naira estimated from federal government. However, this is not all the federal get from having oil in this country. The oil companies pay company tax in hunderds of billion of naira. But the govt choose to call it company tax because other companies that are not oil companies pay tax too. However the company Tax of oil companies is about 85% of their profit. Thus of the about 1.5 trillion naira expected revenue from Company Income Tax (CIT), Value Added Tax (VAT), Customs and Excise duties, and Federation Account levies, about 50% of it are coming from oil companies. 11 Likes 1 Share |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by profosa: 9:06am On Dec 24, 2015 |
chosen04: Your analysis is wrong.You need to remove the following cost before determining Federal Government Revenue from Petroleum: 1.Production cost/Profit sharing with the multinationals 2.Share by State Government and Local Government Area of the revenue accruing thereoff. 1 Like |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by oduastates: 9:19am On Dec 24, 2015 |
Ignorant folks sending out ignorant folks to protest in front of trigger happy policemen $38/ barrel 2 million barrels a day ( if they can find buyers) 60% profit share 60% X 2,000,000 X $38 X 365 = WETIN Remove operational and production expenses. Then money is shared 55/ 45 between the federal, state and local government Assuming production goes on 24/7. No shutdowns and all Awon didinrin 3 Likes |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by omowolewa: 9:21am On Dec 24, 2015 |
Okay |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by chosen04(f): 5:44am On Dec 26, 2015 |
tuale4u:Thank God that even from your wrongly cooked up figures you can still notice a massive fraud. Btw, when has N830b and N820b become very close? Liars and cheats! 1 Like |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by chosen04(f): 5:53am On Dec 26, 2015 |
oduastates:......FYI, freedom begins to be possible when men are not afraid to die for what they believe in. Biafra land is not like your feudal system where the "haves" and sends the "have-nots" out to do their wish, in Biafraland everyone chooses whatever s/he does thus your claim that someone sent anybody out to protest is dead on arrival.......Why didnt you work out the oil production to arrive at the figure that the clueless govt quoted? 3 Likes |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by chosen04(f): 5:58am On Dec 26, 2015 |
profosa:....So are you now dishonestly trying to tell us that the cost of proudction and other sundry expenses involved is about 5 times more than the expected revenue/income?.......So you want me to believe that the govt produces oil at a lost?.....Try and come up with another line as this one is stale. |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by chosen04(f): 6:04am On Dec 26, 2015 |
Bevista:So are you telling us that the govt produces at a lost cos that is the only way that you can remove the cost of production from N1.66tn to arrive at an income of = N820b....Try and come up with another line. This one is stale 1 Like |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by chosen04(f): 6:11am On Dec 26, 2015 |
profosa:........Why not work it using the govt's quoted daily production rate and arrive at the amount of the expected revenue/income that the govt quoted? Am waiting! 1 Like |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by DropShot: 6:23am On Dec 26, 2015 |
Tuale4U and Bevista have helped to cure your ignorance. Take the lesson to IPOB or from wherever you got the propaganda from. 3 Likes |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by Hemah(f): 6:31am On Dec 26, 2015 |
chosen04: chosen04: chosen04: He who knows not and knows not that he knows not: is a fo.ol, shun him. 4 Likes |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by Bevista: 6:35am On Dec 26, 2015 |
chosen04:"S/He who does not and s/he does not know that s/he does not know ......". My dear, you have a prejudiced and biased mind. I am giving you alternative information and instead of you to take it on board and make more research on it, you are still trying to justify your earlier ignorant & prejudiced position. --- The $38 used in the analysis is the SELLING PRICE. Your elementary Commerce, Economics or Mathematics will tell you that there is something called COST PRICE. Therefore SP - CP = Profit. --- I do not know for sure what the exact cost of production is, so I cannot tell you if the budget figure of N820bn is absolutely correct. But what I can tell you is that your analysis is way off the mark and does not reflect market reality. I have heard that the cost of production is somewhere around 30-70% depending whether the rig is onshore, offshore, or deep-water. This brings the AVERAGE cost of production to around 50%. If you discount my earlier figure of N1.66tn by 50%, then you get a final NET figure of around N833bn (profit) roughly. Mind you, I am not holding brief for the FG and I am not privy to all information regarding operations, so my analysis is not intended to be laser correct. But based on my industry knowledge and experience, I am very confident that the end result should not be too far off from the analysis. 4 Likes |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by Demdem2: 6:42am On Dec 26, 2015 |
Chai, IPOB fools are just so gullibly foolish. One lunatic published an eediotic talk online and a silly ipob nonentity gladly picked it up to share. Shame. 6 Likes |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by Ijaya123: 6:46am On Dec 26, 2015 |
Your analysis isn't particularly needed. Keep it for the land of the rising sun. 4 Likes |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by EternalTruths: 6:49am On Dec 26, 2015 |
tuale4u: You are still spreading this lie I asked you to provide fact using reliable source you couldn't Dear Nigerians Look at the lie which I highlighted in blue colour. Please ask him to provide fact with reliable source that the production cost is $18 and net revenue $20 Because we know that the production cost could be lower than $5 or more than $5 per barrel. Thank you. 1 Like |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by EternalTruths: 6:55am On Dec 26, 2015 |
Bevista: Dear Nigerians Put aside political difference and be objective to Look at the highlighted figure in blue colour Please ask him to explain how he arrived at that figure of $30.15 when Buhari pegged it $38 Thank you 1 Like |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by Demdem2: 6:55am On Dec 26, 2015 |
EternalTruths: U are requesting for facts right? Can u also present ur own fact to substantiate the colored part? Why ask for something u can't give? Is it an IPOB way of life? 2 Likes |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by EternalTruths: 6:58am On Dec 26, 2015 |
Demdem2: As I said Put aside political difference and be objective Ask right questions if you want to help your confused hero Otherwise Tinubu's boys in government will outsmart Buhari ![]() 1 Like |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by Bevista: 7:00am On Dec 26, 2015 |
EternalTruths:My dear, you are too much in a haste to find fault and all you end up doing is displaying your ignorance in a public forum. That is what happens to a hate-filled and prejudiced mind. --- First and foremost, that figure was presented by the OP of this thread. Go back and check the figure and you will see that it says "GROSS EARNINGS FOR ENTIRE 2016" (that is if you know what that means) and not price per barrel. That figure is gotten by multiplying price per barrel ($38) x daily production (2.2mbbls/day) x the whole year (365 days) to arrive at an annual gross earning of $30.15bn 2 Likes |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by Demdem2: 7:02am On Dec 26, 2015 |
EternalTruths: What u said is facts. U requested for facts. Now present ur own fact and stop boring us with more lunatic posts. It's obvious that IPOB spokesman knows nothing about Jvc and PSC. The fool is selling u lies and u lot are gladly picking it up. Besides, why is he so concerned about the Zoos affairs? Why can't Biafra present their own budgets? Nonsense. 1 Like |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by EternalTruths: 7:03am On Dec 26, 2015 |
Bevista: And you used a figure you are not sure of to defend your point ![]() |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by Demdem2: 7:06am On Dec 26, 2015 |
EternalTruths: Which of the variables below are we not sure? Is it the number of days in a year or daily production volume or oil benchmark by FG for year 2016? Chai IPOB youth....... That figure is gotten by multiplying price per barrel ($38) x daily production (2.2mbbls/day) x the whole year (365 days) to arrive at an annual gross earning of $30.15bn 1 Like |
Re: Deconstructing Buhari's 2016 Budget Of Lies & Deceit----part-1 .....by Ipob by EternalTruths: 7:08am On Dec 26, 2015 |
Demdem2: The greatest disaster that will befall Buhari on social media will not come from pro Jonathans but from pro Buharis like you who become easily angered to the point of going off topic instead of presenting winning points. ![]() 1 Like |
Is Senator Shehu Sani A Shia Muslim Follower Of Zakzaky's Islamic Movement / One Killed, Two Kidnapped Landlords Freed As OPC Arrests Militants In Lagos / Remember The Politician Who Went Nude Few Days Back? Checkout His Family
(Go Up)
Sections: politics (1) business autos (1) jobs (1) career education (1) romance computers phones travel sports fashion health religion celebs tv-movies music-radio literature webmasters programming techmarket Links: (1) (2) (3) (4) (5) (6) (7) (8) (9) (10) Nairaland - Copyright © 2005 - 2024 Oluwaseun Osewa. All rights reserved. See How To Advertise. 131 |