With the international oil prices currently pegged at about $30, Nigeria may be currently selling its crude at a loss.
According to industry sources, it costs the oil companies between $25 and $30 to produce a barrel. When the cost of shipping and demurrage is added to the cost of exploration, the total cost is above $30.
Hence, there is a concern that the Federal Government may not be able to recoup the cost of production in coming years.
No comments:
Post a Comment