Abuja - Nigeria stands a chance of losing some of its traditional buyers to rival producers such as Iran and Saudi Arabia, industry experts have warned.
Nigeria lost its Africa’s top oil producer status to Angola on the back of huge decline in its output, Punch reported.
The spate of production disruptions largely caused by the recent upsurge in militant attacks on oil infrastructure in the Niger Delta that have cut Nigeria’s output to the lowest in almost three decades, exports of the commodity from the country have taken a serious beating.
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According to Bloomberg, Nigeria’s army is questioning 10 people it arrested on Saturday on suspicion they’re part of the Niger Delta Avengers, a militant group that’s claimed responsibility for blowing up pipelines in the nation’s oil-producing region.
Four of the nation’s five largest export streams have been totally suspended as Forcados, Qua Iboe, Bonny Light and Brass River are under force majeure.
The Head of Energy Research, Ecobank Capital, Mr. Dolapo Oni, said, “There is a risk that Nigeria may lose its market share to other countries. But countries such as India like Nigerian crude, adding that other buyers in Asia such as Malaysia and Singapore might turn to other producers for their imports".
- News24 Nigeria