Thursday’s OPEC decision in Vienna means that Nigeria would no longer be able to increase oil revenue in 2018 by increasing output, even if sustainable peace returns in the oil-rich Niger Delta region.• OPEC caps Nigeria, Libya outputs
• U.S. output hike stirs fears of price crash
• NNPC promises enough fuel supply during yelutide
Global oil production analysts expect a strong United States output in early 2018 and this triggered more concessions by the Organisation of Petroleum Exporting Countries (OPEC) to protect oil markets from a new dip.
The world’s biggest oil producers yesterday agreed on a nine-month extension of an existing deal curbing production throughout next year to shrink stockpiles and keep prices above $60 per barrel.
Nigeria and Libya, which were earlier exempted from the cuts — due to hostilities in their oil-producing regions, — would now have to join the cuts and this will force government to re-consider its budget estimates for 2018.
Extension of oil production cuts threatens Nigeria’s budget
