The Presidency has said it will oppose any move by the Organization of Oil Producing Exporting Countries (OPEC) to reduce Nigeria’s production level of crude oil.
Minister of State for Petroleum Resource, Ibe Kachikwu, gave this indication in an interview with Financial Times of London, ahead of the forthcoming meeting of OPEC and Russia in Vienna, Austria, later this month to push the oil price to $60 a barrel.
Nigeria and Libya, two members of the oil cartel enjoying exemption from oil production cut deal have been invited to an OPEC Committee meeting scheduled for September 22 in Vienna, Austria.
Kachikwu argued that Nigeria, as a member of OPEC, cannot allow a cut in its production quota for now, because its oil and gas sector is still suffering from years of violent disruption, and needed more time to recover
The Oil Minister explained that Nigeria will not consider a cut in its OPEC production quota, until March next year, if its production level is sustained.
“We have a nine-month exemption period within which to come back to the table,” Kachikwu said, referring to the decision to extend the near two million barrel a day supply cut deal from June.
“You need that timeframe to see if any recovery is sustainable,” the Minister explained.