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Again OPEC ignores Nigeria on oil-price regain plans

Published

8 years ago

August 29, 2016

Again oil prices drop as OPEC members split

Yet again, Nigeria was missing from major programmes by member-countries of the oil cartel, the Organization of Petroleum Exporting Countries (OPEC).

This may be attributable to the economic recession facing the country, making it the second time in two months that such programmes excluded Nigeria.

This was, at the weekend, underscored by the latest move to shore up the falling price of crude oil at the international market when Venezuela celebrated a new role that OPEC had entrusted in it and Iran to be part of a special committee to stabilise the market.

In 2011, OPEC had ranked Nigeria its second largest oil producing member and followed this up with key positions for the country, including being the Alternate President two years after.

But experts say these accolades may have been lost in the past one year.

They cited the new role bestow on Venezuela, the 8^th ranked OPEC member and Iran the 10^th at the expense of Nigeria as a calculated attempt to reduce the country’s influence in the organization.

Read also: Nigeria spends $11bn yearly on wheat, flour importation

But from Vienna, the OPEC capital came what a source described as vital the role that the two countries were mandated to play, which will see member-nations cooperate in pushing up the oil price to at least $50 per barrel against its current price of $38.2 per barrel to $40.

The appointment of the two countries followed the meeting, which reviewed an inclusive one involving non OPEC members, led by Rusia in July.

Venezuelan President, Nicolas Maduro told cable network that his country and Iran were mandated to seek consensus on ways to stabilize the oil markets and strengthen OPEC.

Towards achieving this, a series of meetings have been put in place, beginning with last Saturday’s visit to Venezuela by the Iranian Foreign Minister, Mohammad Javad Zarif.

“We continue to build common ground and a new consensus on stabilizing oil markets, strengthening industries, strengthening OPEC,” Maduro said in a ceremony broadcast on state television.

He said Venezuela’s oil minister and foreign minister would make announcements in the coming weeks, but did not provide details on concrete actions.

Both countries’ officials will take to tour of other Latin American nations including Bolivia and Ecuador to begin the assignment.

It was not yet known whether they will visit Nigeria, as officials of the Ministry of Petroleum Resources remain silent on the issue when contacted, claiming they were yet to be properly briefed on this.

By Emma Eke.

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