The economy of Nigeria has received the needed boost with the news of the discovery of oil in the north-east.
Minister of State for Petroleum, Ibe Kachikwu
After several months of exploration activities, Borno State has joined the league of oil-producing states in Nigeria, as the Federal Government, yesterday, said crude oil had been discovered in the state.
Permanent Secretary of the Ministry of Petroleum Resources, Mrs. Jamila Shua’ra, disclosed this during the agreement signing ceremony for joint venture, JV, cash call exit and presentation of the petroleum sector score card in Abuja.
Shua’ra, however, failed to state the particular area in Borno State where oil was discovered and if the discovery was in commercial quantity.
She attributed the discovery of oil in Borno and Lagos states to the doggedness of the present administration. In the scorecard presented to stakeholders, the ministry also noted that the introduction of Price Modulation Mechanism and Appropriate Pricing Framework had helped the Federal Government to save N1.4 trillion that would have been expended on subsidy payment between May and November.
Also, the ministry announced that the Department of Petroleum Resources, DPR, would in 2017 conduct bid rounds for open blocks and conclude the previously aborted marginal fields bid round to enhance the entry of new players, stimulate competition and generate revenue for the government.