DD
MM
YYYY

PAGES

DD
MM
YYYY

spot_img

PAGES

Home Blog Page 5843

Oil Climbs $67 on OPEC’s Decision not to Increase Output

0
Oil workers

After the OPEC+ alliance virtual meeting on Thursday where members reached a decision to keep current oil output unchanged, oil price has surged to its highest in nearly two years.

It is a relieving development for the oil industry that has been ravaged by the pandemic, plummeting the economy of oil-exporting countries.

The US futures leaped 5%, and Brent global benchmark also jumped following the decision on Thursday. The agreement between the OPEC+ producer alliance means that output will be held steady in April. Bloomberg reported Saudi Arabia saying it’s not in a hurry to bring back supply and will maintain its 1 million barrel per day voluntary production cut.

Experts believe the decision is a smart move that will move the oil market to the bull.

“The decision to maintain the current OPEC+ supply cuts for the month of April has given the oil bulls exactly what they needed as far as the tight-supply narrative goes. The Saudis shrewdly recognized that in order to maintain the recent upward price momentum and speculative buying interest in oil futures, they needed to feed the bull,” Ryan Fitzmaurice, commodities strategist at Rabobank said.

oil workers in Nigeria

Adjustments in oil prices and cutting output have been the key strategies advocated by Saudi Arabia, to lift oil price.

OPEC+ has helped drain a global glut that accumulated during the pandemic through its supply management, pushing crude futures up more than 30% so far this year, Bloomberg said in its report.

The result is seen across many areas of the oil market moving from the pandemic plunge to pre-pandemic market status. Brent options volume rose to the highest since March 2020, according to preliminary trade data compiled by Bloomberg.

Although the surge underscores victory for the Saudi-led approach that encourages OPEC members to hold back output, it also has the potential to instigate further drilling activity.

Higher prices could spur additional drilling activity by US shale explorers, with domestic oil rigs already at the highest since May 2020, Bloomberg noted.

“It’s going to get tight. The longer prices stay up, the greater the likelihood we will eventually see a supply response from the US. But, it’s not going to be as immediate as it would have been in the past,” said Bill O’Grady, executive vice president at Confluence Investment Management in St. Louis.

However, Saudi Arabia seems unbothered by the likelihood. Saudi Energy Minister Prince Abdulaziz bin Salman told reporters after the OPEC+ alliance meeting that the US mantra of “drill, baby, drill is gone forever.”

Bloomberg reported that the rally in crude prices that’s helped send fuel prices up is being compounded by refined product supply declines in the US after a deep freeze paralyzed much of the Gulf Coast refining sector late last month.

The debate before OPEC+ is whether output should be raised up to 1.5 million per day. Russia and Kazakhstan were exempt from the agreement. The body will meet again in April 1 to discuss production for the month of May.

Meanwhile, the surge in oil price is particularly good news for Nigeria that has been wobbling in a debt-filled economy as low oil prices plunged following the pandemic. Nigeria’s oil benchmark is pegged at $40 per barrel with a daily production estimate of 1.8 million barrels. With Brent crude at $67, the revenue generation of Africa’s biggest oil producer is expected to increase, boosting its crashing currency, the naira.

How to Organise and Lead Inclusive Fuel Protests in Fragile Settings: A Template from PASGAR’s Researchers and Research Participants in Nigeria

0

The focus of the study (for Nigeria) led by Professor Ayobami Ojebode, Professor of Development Communication, University of Ibadan, was to find out the reasons labour unions and activists haven’t been able to lead Nigerians successfully towards fuel subsidy protests, and to bring out lessons on how to lead people on a volatile issue like energy protest. Methodologically, the research is a product of fifteen key informant interviews, nine Focus Group Discussions, event catalogues of ten years and popular media depiction of fuel crises in Nigeria.

Our analyst had earlier reported Professor Ojebode and his team from the Partnership for African Social and Governance Research will share their research findings with the public on March 4, 2021.  Sharing the findings of his team’s research to the participants (which comprised members of civil societies, unionists, academics and journalists), Professor Ojebode established that a number of respondents saw fuel subsidy as a social contract between the government and the citizens in as much as the government subsidises fuel. However, the intensity of protests is dependent on issues of trust and distrust in government and protest leaders.

Citing the 2012 fuel protest as an example, Professor Ojebode said, “The 2012 had widespread and sharp bite and presence (of strong protests) because the government had lost the trust of the people: it was enmeshed in corruption allegations of unimaginable proportions, just as the president was perceived as indecisive.”

It was a different case in the 2016’s increment. Nigerians didn’t participate in the protest called by labour as done in 2012 because of their “lack of trust for labour leaders and a feeling of betrayal” having failed Nigerians in the 2012 negotiations they had with the government on their behalf.

When the fuel price was increased in 2020 as a result of fuel subsidy removal announced by the Federal Government, no protest occurred. This time around, “Nigerians had learnt to trust neither the organised labour nor the government” as there was “no fuel to fuel the protest.”

As such, “when Nigerians trust labour leaders and protest organisers and distrust the government, a strong protest could occur; when they trust the president but not the labour leaders and protest organisers, only a lame protest could be expected; when they will trust neither of them, one might expect close to no protest at all.”

What lessons were then learnt on leading Nigerians in energy protest? What are the recommendations? Professor Ojebode highlighted transparent leadership Nigerians can trust, inclusiveness of protest leaders in constituting negotiation team as well as structured leadership where union leaders and CSOs discharge their responsibilities without being coerced.

In their separate comments, the stakeholders (union leaders, journalists, civil societies, academics) present applauded PASGR and Professor Ojebode-led team for a robust research findings and discussions. However, the stakeholders unanimously reiterated that the labour union is failing in its responsibilities because of the perceived corruption of its leaders, genesis of its leadership formation as well as its dependence on government for finances. They therefore encouraged Nigerians to see themselves as stakeholders in the Nigerian polity and see themselves as powerful voices on government policies.

Earlier, Dr Martin Atela of Research and Policy Unit, PASGR; Dr Beatrice Muganda, Acting Executive Director, PASGR and Professor John Gaventa, A4EA Director, Institute of Development Studies, UK had welcomed the participants, given opening remarks and provided PASGR’s baseline studies respectively.

Watch the conversation here

 

An Uncommon Honour From One of Africa’s Great Universities

0

A BIG honour to have your picture on display in a university academic hall especially when you did not attend that school. Always honoured that one of Africa’s leading universities – Covenant University – could be this gracious, to use me, to inspire a generation of young people: “whenever I walk through those doors with you watching, I desire to be like you”. You will be better – keep working and keep improving.

 

Standard Chartered Bank Nigeria Partners with Vetifly to Serve its Clients

0

We celebrate here at Vetifly as Standard Chartered Bank Nigeria enters a unique partnership with Vetifly, our on-demand helicopter service. At the moment, Vetifly flies from Victoria Island to Ikeja International airport and vice versa. We are adding more routes across Nigeria and beyond.

According to the global banking giant, this partnership with Vetifly was born out of a need to provide convenience for clients; the Alliances teams working closely with the priority segment of the Bank’s Consumer, Private and Business Banking (CPBB) arm developed this initiative. With a team of seasoned professionals dedicated to providing relevant banking solutions to meet existing and prospective clients’ needs.

Speaking on the Partnership, Chima Ebor, Priority Banking head, said: “At Standard Chartered Bank, we aim to continually improve the lives of our clients by partnering with like-minded organizations such as Vetifly. That’s why we are very excited about this new partnership and the potential benefits to clients.”

One of the current unique offerings to clients under this partnership is that from now till April 30th 2021, when clients register on the Vetifly website – www.vetifly.com, Vetifly will credit the client’s wallet with a special bonus within 72hours as part of the cost for their first trip.

Abiodun Olawale- Cole, Country Manager, Vetifly added ‘for Businessmen and Businesswomen who do not like to waste time in traffic. This service will be the solution for them as Vetifly helps save time as well as travel in style.

Ndubuisi Ekekwe, CBN Governor, VP Nigeria, etc to Speak at Fidelity Bank Series

2
 Tekedia Institute is excited to invite you to join our Lead Faculty, Prof Ndubuisi Ekekwe, at a Fidelity Bank conversation series, as he speaks on investments and banking policies, in Nigeria.
Also speaking are the Governor of Central Bank of Nigeria (Godwin Emefiele), the Vice President of Federal Republic of Nigeria (Prof Yemi Osinbajo), Chairman of Afreximbank (Prof Okey Oramah), Prof Olawale Sulaiman, and Hon Abike Dabiri-Erewa.
Date: Saturday, March 06
Time: 2pm WAT
Register free here– https://campaign.fidelitybank.ng/