Boss13:


Unfortunately, it is you who is poorly knowledgable in Economics. Have you ever heard of OPEC before? Do you know that production quota is rationed amongst member countries of OPEC. Do you also know that reducing supply may reduce your market share? That is why Saudi Arabia is refusing to cut down on production quota. Are you also aware that there are other suppliers in the market apart from OPEC. The Oil industry is now a consumer market and no longer a suppliers' market, where suppliers such as OPEC can control the price of oil.

Finally to address your poorly informed brain cells, we have a minister of petroleum who is responsible for pursuing the country's interest. Kachikwu is a sound engineer and has the president's support even if as you said the President has F9 in Economics. The President is not expected to know everything.

Please stop being ignorant

Boss13:


Unfortunately, it is you who is poorly knowledgable in Economics. Have you ever heard of OPEC before? Do you know that production quota is rationed amongst member countries of OPEC. Do you also know that reducing supply may reduce your market share? That is why Saudi Arabia is refusing to cut down on production quota. Are you also aware that there are other suppliers in the market apart from OPEC. The Oil industry is now a consumer market and no longer a suppliers' market, where suppliers such as OPEC can control the price of oil.

Finally to address your poorly informed brain cells, we have a minister of petroleum who is responsible for pursuing the country's interest. Kachikwu is a sound engineer and has the president's support even if as you said the President has F9 in Economics. The President is not expected to know everything.

Please stop being ignorant

theorist:
I pity you and your generation. You know next to nothing.

When you sell 1 barrel and make a profit of #100. And now because the profit margin has dropped.
do you think you will still sell the same number of barrels you'll make same profit? No. Sell more to shore up profile.


Business 101

989900:


Correct, but isn't Kachikwu a lawyer?

And, I think OPEC should cut supply to jerk up prices.

worlexy:
At a point when crude oil price is falling, they keep increasing the number of barrels they are producing per day, leading to further drop in the international price of crude oil. That's what happens if the president had F9 in Economics because common sense taught in basic economics is "the higher the supply, the lower the price". How can you be disobeying economic law and expect economic turn around? How can you say you want to stabilize global oil price when you keep bombarding the market with higher barrels of oil. Ha, I tire for this country o.

Boss13:


Unfortunately, it is you who is poorly knowledgable in Economics. Have you ever heard of OPEC before? Do you know that production quota is rationed amongst member countries of OPEC. Do you also know that reducing supply may reduce your market share? That is why Saudi Arabia is refusing to cut down on production quota. Are you also aware that there are other suppliers in the market apart from OPEC. The Oil industry is now a consumer market and no longer a suppliers' market, where suppliers such as OPEC can control the price of oil.

Finally to address your poorly informed brain cells, we have a minister of petroleum who is responsible for pursuing the country's interest. Kachikwu is a sound engineer and has the president's support even if as you said the President has F9 in Economics. The President is not expected to know everything.

Please stop being ignorant

Adminisher:


If your parents had average IQ you would have inherited it.
ALL producers are increasing supply that is why Nigeria is not reducing supply. It is not just price but MARKET SHARE. This is not container business . We are not selling spare parts here. Nigeria's production reduction alone will not reduce oil price. We will merely lose our market. Nigeria is particularly very strong in the market with our sweet light crude and tight contracts with India, China and many African countries. Even some US refiners are buying our crude occasionally. .
It is not by posting rude things about your president and government that will increase your low IQ or solve your tribal inferiority complex or bring back Jonathan.
Think and research before you post and for you maybe you need to think harder and longer than other peoplease.

worlexy:
Well, your analysis is typical of the type I expect from a zombie like you, you swallow anything:the hook, line and the sinker, as long as it's from Buhari, the likes of you throw your reasoning faculties away. Was it not the same Buhari that was shouting before the election that he would stabilize global oil price? Now from your dumb analysis, the approach is by increasing output, thereby making oil to be as cheap as water? At a point where Nigeria is finding it difficult to get buyer for our crude oil, is it sane to be increasing output? Next time you want to quote me, make sure your brain is still intact within your skull.

Inception:


How does this stabilize oil price?

worlexy:
LOL, I don't argue with kids. it's glaring that you don't know anything about economics. At a point when a barrel was about $33 they were saying the cost of production was above the selling price, now that it has fallen below $33, if you have functioning brain I won't need to tell you the implications of that

Boss13:


You continue to spill garbage from the nutmeg of a skull you have. Unfortunately for your ego, I do not belong to the category that would not criticise the president on misguided policies. I do not form any alliance rather than that of national interest. I am not myopic or ethnically biased like yourself who would jump into conclusions without logical reasoning.

FYI, Nigeria is not meeting its own production quota because of the recent pipeline explosion. Nigeria cannot exceed its rationed quota allotted to it by OPEC. Hence, for folks like you, this publication is an eye-opener.

To address your comment, I did not hear or read from the President directly, that he would stabilise oil prices because that it very impossible. Oil prices are determined by market forces and even supply manipulations from OPEC is still part of market forces. The decline in Oil prices, which has been termed as Oil Glut, is as a direct consequence of many suppliers in the market, even the Syria crisis is not sufficient enough to create scarcity. The decline started from the US Shale Oil production and the decline of the United State in its demand for oil. Economies, if you do know it, should let you know that once there is a drop in demand, automatically prices go down, in support of the direct correlation with demand-price theorem. Please read through my comment again, I did not offer any suggestion, but addressed your ignorant comment of criticising the president on issues that he has no control over.

Now, even if you cut supply, you have other players in the market who would not want to cut supplies. Iran is undergoing an aggressive market strategy in view of the sanctions recently lifted. They are now requesting for payment in Euros and not in Dollars. China is now slowing down on its oil demand, due to the decrease in consumer demand. India, Nigeria's major buyer, is going to Iran. Except there is a pact agreed by oil countries, nothing would stop the price from not hitting $10 per barrel (my prediction for the end of 2016). At that price, many Oil companies will stop production because it is no longer viable. Saudi Arabia break-even point is $12 per barrel, Nigeria is $20 per barrel for some of its oil wells/blocks. You can see that Nigeria will put out quickly than Saudi Arabia and another reason Saudi Arabia, an influential voice in OPEC is refusing to cut down on supplies because it is still profitable.

tuniski:
kackukwu is a lawyer not an engineer! All of what u said falls within the very law of demand and supply. Just simply mentioning the various instrument of tweaking doesn't make him off mark in his submission. It is the jargons that are causing problems.

Boss13:


For christ sake, this man or boy, go and research. Google can help you out. Your comments are just out of point.

worlexy:
I don't join issues with kids bro. Silence is the best answer for a .... FYI stop quoting me

Boss13:


Please go through my timeline, that should assist you to ascertain my age bracket and also the possibility to ascertain what I do for a living. You continue to belong to the category of nairalanders I term Ignorant, Naive and ethnically biased

worlexy:
LOL, I don't argue with kids. it's glaring that you don't know anything about economics. At a point when a barrel was about $33 they were saying the cost of production was above the selling price, now that it has fallen below $33, if you have functioning brain I won't need to tell you the implications of that

worlexy:
If your chronological age is 100years and you reason like a one year old, you're still a kid bro. it's not about how far but how well. I checked your timeline and previous post and it only confirmed one thing, you're a zombie. You believe everything said against PDP members, you believe in the media trial and conviction of PDP members but when it comes to anything Buhari, you start sulking and gets defensive and immature in your reasoning. So u see why you're still a kid? Your age doesn't translate to mental maturity

Adminisher:


It takes a follower of the clueless Goodluck Jonathan to believe that Nigeria's oil production is above selling price. A young impressionable mind that believed Railway revamp, Power sector revamp and Infrastructure revamp will also believe that falsehood. The cost of production is far far below what is quoted. Apart from that Nigerian oil is doldrums at a premium any way.

I spent two and a half decades in Nigeria's oil industry. The real cost of production used to be the lowest I'm the world and shot up briefly only due to security issues in 2011 to 2013 but never up to even MENA countries production costs. Most of our fields have recouped all their capital expenditure and there is not much expensive secondary recovery going on in Nigeria .
To make things even easier for us the stupid militants of the Niger Delta have just closed in about 5% of our so calked expensive production but the funny thing, the price of oil did not even change by 0.0000001 per cent so that is that for some cold realities .
The FG is doing what is right. We have to pally with India and China. India is now in a better position than China. They have an average income per capita of $1500 , China has now gone up to $7000. India has 1.something billion people as well. 300 million people are below the age of 25. Maybe 250 million people are going to be moving from lower class to middie class. That means they will be consuming a lot of energy driven goods - cars, electricity , food etc. . The Buhari government moved fast with meetings and bilateral agreements with Modi. He is also going to China in some days time for finance, energy , transportation and Defence talks. Since we booted the fake PhD holder from office, we have moved pieces on the chess board more astutely even without all the crude oil money that we had in the past.
The FG should continuing wrecking the lives of treasury looters and setting international traps for them and their looted funds . Nigeria will change for the better. SURELY.

Boss13:


This is going to be my last comment to you. You have made claims which have been refuted by many on this thread. You have posted irrational comments which prove you are a demented soul. I am not an APC or PDP member, but a Nigerian. Without Nigeria, there will be no political party, hence, my views will not be divided based on the affiliation to any political party. Wake up from you slumber, you sloth.

989900:


Correct, but isn't Kachikwu a lawyer?

And, I think OPEC should cut supply to jerk up prices.

Boss13:


Thanks for the correction.

OPEC cutting down supply would help, but we have other suppliers. Though it is very expensive crack Shale Oil in the US, but it is still an alternative market. There is Russia too.

worlexy:
At a point when crude oil price is falling, they keep increasing the number of barrels they are producing per day, leading to further drop in the international price of crude oil. That's what happens if the[b] president[/b] had F9 in Economics because common sense taught in basic economics is "the higher the supply, the lower the price". How can you be disobeying economic law and expect economic turn around? How can you say you want to stabilize global oil price when you keep bombarding the market with higher barrels of oil. Ha, I tire for this country o.

erico2k2:

OPEC are no longer relivant in oil production quota since the likes of the USA and Iran began producing crude.

989900:


Correct, but isn't Kachikwu a lawyer?

And, I think OPEC should cut supply to jerk up prices.

989900:


"relevant", in the above ^^ is non-definitive.

Saudi Alone cutting production would jerk up prices.

A couple of bomb explosions in Abu Dhabi today would spike prices.

And of course, low oil prices is neither good for Saudi nor Iran (even though it's dirt-cheap), as we speak, both countries are in talks to cut production already. Even the Russians are planning to do likewise.

erico2k2:

The way the oil trade is now even if Saudi stops all together it will have no effect on prices. There are just too many producers and cost of production is different in different regions. We have venuzuella, Russia. Iran. Who r flooding the mkt

Adminisher:


It takes a follower of the clueless Goodluck Jonathan to believe that Nigeria's oil production is above selling price. A young impressionable mind that believed Railway revamp, Power sector revamp and Infrastructure revamp will also believe that falsehood. The cost of production is far far below what is quoted. Apart from that Nigerian oil is doldrums at a premium any way.

I spent two and a half decades in Nigeria's oil industry. The real cost of production used to be the lowest I'm the world and shot up briefly only due to security issues in 2011 to 2013 but never up to even MENA countries production costs. Most of our fields have recouped all their capital expenditure and there is not much expensive secondary recovery going on in Nigeria .
To make things even easier for us the stupid militants of the Niger Delta have just closed in about 5% of our so calked expensive production but the funny thing, the price of oil did not even change by 0.0000001 per cent so that is that for some cold realities .
The FG is doing what is right. We have to pally with India and China. India is now in a better position than China. They have an average income per capita of $1500 , China has now gone up to $7000. India has 1.something billion people as well. 300 million people are below the age of 25. Maybe 250 million people are going to be moving from lower class to middie class. That means they will be consuming a lot of energy driven goods - cars, electricity , food etc. . The Buhari government moved fast with meetings and bilateral agreements with Modi. He is also going to China in some days time for finance, energy , transportation and Defence talks. Since we booted the fake PhD holder from office, we have moved pieces on the chess board more astutely even without all the crude oil money that we had in the past.
The FG should continuing wrecking the lives of treasury looters and setting international traps for them and their looted funds . Nigeria will change for the better. SURELY.

989900:


LOL . . . if Saudi's petroleum minister says "we will stop production for 2 days", the market reacts . . . even if Nigeria stops production for a week , prices would go up (market will react). It's a 'speculative market', a vulnerable and volatile one BTW -- every information, misinformation, action and inaction, causes . . .

Adminisher:


It takes a follower of the clueless Goodluck Jonathan to believe that Nigeria's oil production is above selling price. A young impressionable mind that believed Railway revamp, Power sector revamp and Infrastructure revamp will also believe that falsehood. The cost of production is far far below what is quoted. Apart from that Nigerian oil is doldrums at a premium any way.

I spent two and a half decades in Nigeria's oil industry. The real cost of production used to be the lowest I'm the world and shot up briefly only due to security issues in 2011 to 2013 but never up to even MENA countries production costs. Most of our fields have recouped all their capital expenditure and there is not much expensive secondary recovery going on in Nigeria .
To make things even easier for us the stupid militants of the Niger Delta have just closed in about 5% of our so calked expensive production but the funny thing, the price of oil did not even change by 0.0000001 per cent so that is that for some cold realities .
The FG is doing what is right. We have to pally with India and China. India is now in a better position than China. They have an average income per capita of $1500 , China has now gone up to $7000. India has 1.something billion people as well. 300 million people are below the age of 25. Maybe 250 million people are going to be moving from lower class to middie class. That means they will be consuming a lot of energy driven goods - cars, electricity , food etc. . The Buhari government moved fast with meetings and bilateral agreements with Modi. He is also going to China in some days time for finance, energy , transportation and Defence talks. Since we booted the fake PhD holder from office, we have moved pieces on the chess board more astutely even without all the crude oil money that we had in the past.
The FG should continuing wrecking the lives of treasury looters and setting international traps for them and their looted funds . Nigeria will change for the better. SURELY.