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OPEC, Nigeria discuss post-pandemic oil recovery

OPEC, Nigeria discuss post-pandemic oil recovery

The Organization of Petroleum Exporting Countries (OPEC) and Nigeria are working together on stabilizing the oil prices and market situation in the post-COVID period. The recent bilateral meeting has sent yet another message of the boosting cooperation between OPEC and Africa’s biggest producing nation.

The bilateral meeting that held last week between Nigerian and OPEC officials showed that a constructive dialogue continues. According to the statement by APO Group, a global media group, such dialogue was key for compliance with the OPEC global production cuts deal of April, to which all of OPEC’s African member nations agreed to.

Nigeria’s support to global market stability and energy cooperation is significant and gives confidence to operators and future investors seeking to do business in West Africa, AllAfrica reports.

Following the meeting, the strong message is being sent with OPEC helmsmen, Mohammed Barkindo and Dr Ayed Al-Qahtani leading these discussions.

“We continue to support the Government of Nigeria, and the country’s Ministry of Petroleum Resources in their effort to improve the environment for investment and getting the industry to rebound post-COVID-19,” said the Nigerian representative.

For Nigeria, the launching of the Marginal Fields Bidding Round was significantly successful. Amid coronacrisis, it is expected to result in a new wave of local content development.

Meantime, Lagos-based Seplat has $174 million receivables from Nigerian Petroleum Development Company reduced from $222 million at the end of last year.

Among others, the $145 million loss made in the period resulted from an oil price decline and impairment of financial assets in the first quarter. Seplat’s total debt stands at $457 million.

The share price rose 10%, the limit allowed on the Nigerian stock exchange, the most single-day move since December, with today’s traded volume more than six times the average for the past three months.