Nigeria Doesn't Need Iran to Stabilize Oil Price - Kachikwu


Report from greennews.ng has it that Nigeria’s Minister of state for Petroleum Resources, Emmanuel Ibe Kachikwu has said Nigeria can stabilize oil price without Middle East oil giant – Iran.

Nigeria, which is the top oil producer in Africa, has been at the front of pushing for a production freeze as a slump in oil prices has taken its toll on the economic.
“I expect that we will reach a conclusion on stabilisation, stabilise current production as of January,” Emmanuel Ibe Kachikwu told Reuters in Abuja.

It was not clear whether all 13 OPEC members including Iran would attend the Doha meeting, though Iranian officials have made it clear Tehran will not freeze output as it wants to raise exports following the lifting of Western sanctions.

But Kachikwu said Iran’s impact was limited anyway as the country would take time to ramp up production.
“We are likely to see Iran not signing on,” he said. “But we have all decided that if they don’t we will proceed because we do not believe that currently their entry into the market will create too much of a threat for the next year,” he said.

“So basically price stability is our expectation,” he said, referring to the impact of a Doha deal.
Kachikwu said Nigeria’s current oil output was 2.2 million barrels a day and he planned to boost it to 2.5 million barrels but this would not add to the global crude supply glut.
“Whatever the extra (it) won’t be in the market but go for our refining,” he said.

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