NIGERIAN OIL PRICE: $45-$46
BLOOMBERG - Africa's top oil producer is learning to ignore crude prices, Nigeria's Finance Minister Kemi Adeosun said.
"We've gotten to a point where we don't care," whether prices will be sustained at the level that they have recently risen to, Adeosun said during an interview in her office in the capital, Abuja. "We've been able to balance our budget at $45-$46 per barrel and we've got to learn to live comfortably at that level."
Brent crude has rallied almost 60 percent since the middle of last year as OPEC and allied producing nations stick to agreed output curbs. The global benchmark traded at about $70.25 per barrel in London on Friday morning.
The OPEC member is recovering from a contraction of its economy in 2016, the first in a quarter century, after a decline in oil prices and in the nation's output due to unrest in the key Niger river delta. The country can't afford to rely so much on the commodity anymore, Adeosun said.
"Yes, it's at $66-$67 per barrel today, but we've been here before, right?" she said Tuesday. "And we can't afford to be exposed to that, so I really try very hard to ignore the oil price."
President Muhammadu Buhari submitted in December a 2018 budget based on projected oil output, including condensates, of 2.3 million barrels a day at $45 per barrel.
Nigeria, which derives about two thirds of its revenue from crude, is seeking to diversify its economy. The government's efforts include pushing for agricultural expansion to reduce a heavy food-import bill and boost exports.
It is also seeking to plug an infrastructure gap of $25 billion, Adeosun said. "The infrastructure gap is significant, it is far bigger than anybody had imagined, in power, in roads, in rail."
Nigeria's foreign-exchange reserves have been boosted by the rise in crude prices, combined with an increase of oil shipments and improved investor confidence. Barring any shock, the Central Bank of Nigeria could build its reserves to $60 billion in the next 12 to 18 months, from $40 billion currently, Governor Godwin Emefiele said in an interview Wednesday.
|April, 25, 10:20:00|
|April, 25, 10:15:00|
|April, 25, 10:10:00|
|April, 25, 10:05:00|
|April, 25, 10:00:00|
|April, 25, 09:55:00|
REUTERS - Uzbekistan plans to join an $8 billion project to build a natural gas pipeline from Turkmenistan to India, Uzbek President Shavkat Mirziyoyev said on Monday, although it was unclear whether Tashkent might eventually ship gas through it.
REUTERS - Egypt aims for foreign investment in the oil and gas sector to reach about $10 billion in the 2018/19 fiscal year that begins in July, Petroleum Minister Tarek El Molla said
REUTERS - BP (BP.L) has a “very strong” partnership with Russian oil giant Rosneft (ROSN.MM) but will steer away from politics, Chief Executive Officer Bob Dudley said on Tuesday, as Moscow could face new western sanctions.
SHELL - Shell has signed an agreement to sell its Downstream business in Argentina to Raízen for US$0.95 billion in cash proceeds at completion, subject to customary closing conditions. The sale includes the Buenos Aires Refinery, around 645 retail stations, liquefied petroleum gas, marine fuels, aviation fuels, bitumen, chemicals and lubricants businesses, as well as supply and distribution activities in the country. Additionally, after the transaction closes, the businesses acquired by Raízen will continue their relationships with Shell through various commercial agreements, which represent an estimated value of US$0.3 billion.