Business / Economy - 2 days ago
BILLIONS of dollars have been lost due to government’s inability to conduct bid rounds for major and marginal oil fields, former co-founder and Executive Director, Pillar Oil Limited, Seye Fadahunsi, has said.
Fadahunsi could, however, not give a specific figure, but he maintained that the figures run into billions of dollars. “This is what the country could have been able to add to the economy over the last 12 years, especially from proper licensing rounds of blocks that are fallow,” he said.
He explained that blocks are amass of fields. “Imagine what the country could do with that, that’s why companies like Proton, Seplat, and the ND Western now have blocks, producing about 90,000, 70,000, 50,000 barrels per day respectively. It’s a substantial production and a major addition to the economy,” he said, adding: “They were only able to do that because there were assets available for them to bid and win.”
“Some of them are producing about 300million standard cubic feet of gas a day, that’s a lot. Imagine what that could do to the power sector and to the industries,” he said.
The last marginal field bid round was in 2003 while the last bid round for blocks was in 2007. Fadahunsi said it was too long, noting that if some people are not given the opportunity, they wouldn’t be where t...