“We Will Join the league”: Nigeria set to Welcome Another Oil-producing State

“We Will Join the league”: Nigeria set to Welcome Another Oil-producing State

  • Ogun State governor has said the state would become an oil-producing state soon
  • He disclosed oil exploration would begin in two local government areas of the state
  • He also said his administration established the Ministry of Mineral Resources in the state

Legit.ng journalist Zainab Iwayemi has over 3-year-experience covering the Economy, Technology, and Capital Market

Prince Dapo Abiodun, the Ogun State governor, has disclosed that the state would soon be given frontier status and join the league of oil-producing states in the country.

Nigerian set to welcome another oil-producing state
Ogun state governor said the state has commenced discussion on the exploration of oil Photo Credit: Ogun govt, LENblR
Source: Original

According to a Punch report, he said this while presenting the 2024 appropriation bill titled, ‘Budget of Sustained Growth and Development’ at the Ogun state house of assembly.

Discussion ongoing

According to Abiodun, the state has commenced discussion on oil exploration in Tongeji Island and Olokola in the Ipokia and Ogun Waterside local government areas of the state, respectively.

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He said:

Discussions are ongoing regarding the exploration of oil in Tongeji Island, Ipokia Local Government Area, and Olokola, in Ogun Water-Side Local Government Area, respectively. We are confident that very soon, we will be given frontier status and will soon join the league of oil-producing states.

Abiodun also revealed that his administration established the Ministry of Mineral Resources tasked with managing the overall management and operation of the abundant natural resources in the state in anticipation of the state's newfound status as an oil-producing entity.

Earlier, Legit.ng reported that Abiodun revealed that the 'world-class airport' being built in the state would commence operations before the end of the year.

He said that upon commencement of operations at the airport, it would take anyone only about 30 minutes or 40 minutes to drive to the location from any part of Ogun State.

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Samuel Oyekanmi, a macroeconomic analyst regarded the development as a welcomed one for the South-west state following exploration activities in Tongeji Island, Olokola.

He said,

"In terms of the country as a whole, with the right investments it will be a plus for the nation in its bid to start producing 2mbpd of crude, which would ordinarily translate to more revenue for the nation."

FG abandons broken oil pipelines, transports crude across waterways

Legit.ng also reported that one of Nigeria’s most important oil pipelines has been broken for months.

This made the country to resort to a fleet of small river-going tankers to increase oil production.

Africa’s largest producer has begun utilizing the tiny ships to transport a new grade of oil, Nembe Creek, up the Niger River delta and onto an ocean-going ship stationed off the nation’s coast.

According to export loading programmes, Nigeria is slated to load roughly 65,000 barrels per day of the new Nembe Creek grade this month and the following. Most of the decrease in flows from Bonny would be replaced by that, though not entirely.

Source: Legit.ng

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