NNPC to reduce cost of crude oil production from $17

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NNPC to reduce cost of crude oil production from $17
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“Today, I can share with you that there are over 12 stranded LNG cargoes in the market globally.”

to create market for Nigeria’s crude and make Nigeria a choice destination for Foreign Direct Investment.

Mallam Kyari stated that at the moment the cost of crude oil production in the country was within the range of $15 to $17 per barrel, adding that some leaders in the Industry such as Saudi Arabia’s cost of production is between $4 and $5 per barrel. He noted that due to the Coronavirus pandemic, Nigeria has about 50 cargoes of crude oil that have not found landing, adding that this implies that there are no off-takers for them for now due to drop in demand.

He said that in the face of the Coronavirus global pandemic, countries like Saudi Arabia have given discount of $8 and Iraq $5 to their off-takers in some locations meaning that when crude oil sells at $30 per barrel, countries like Saudi Arabia is selling at $22 per barrel and Iraq selling their crude at $25 per barrel.

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