As it’s been reported, tough times await Nigeria’s oil and gas industry this year as many negative trends hit the sub-sector. One of the negative aspects is the presidential election in February 2015. The other is the non-passage of the PIB , while the third is the dwindling price of oil worldwide.
While Nigeria relies heavily on oil exports for the generation of its foreign exchange earnings, the rapid decline in oil prices may necessitate the imposition of measure by the government of President Goodluck Jonathan to trim costs and spending. It is claimed that government has cut its expenditure by 59 percent.
Asia is now a market for price war between African and Gulf oil producers who compete for the global oil supply market. Meanwhile, Africa needs to diversify and secure its global market position as a global oil exporter.
Maybe India can help.