PIB: Sen President Advocates Reduction Of Cost In Crude Oil Production

28 January 2021 By James Itodo

President Of the Senate, Ahmad Lawan has advocated a reduction in cost of crude oil production by International Oil Companies (IOC’s)operating in the Country.

Lawan made the call in Abuja, when he played host to a delegation of Oil Producers Trade Section (OPTS)at the National Assembly complex.

Senator Lawan, in his remark said the new Petroleum Industry Bill (PIB)presently before the National Assembly would accommodate provisions to ensure reduction of cost when the bill is eventually considered and passed by the end of the first quarter of the year.

According to the president of the Senate, time has come for the Country to ensure that the cost of production is beaten down to a more meaningful and profitable production cost.

“I believe that the PIB, making provision for funds to go into the host community funds, would probably this time around get us a better deal with the communities.

“We must do everything possible together to ensure that the host communities benefit wherever they are supposed to benefit.
Lawan, while emphasising importance of the PIB towards advancement of Nigeria’s economy, assured that the Senate would accommodate the interest of international investors operating in the country.

He however, decried the low influx of business investors to Nigeria, a development he attributed to the absence of a legal framework which the PIB seeks to address.

Earlier, the leader of the OPTS delegation, Mr Mike Sangster of Total Nigeria said the purpose of the visit was to engage the National Assembly on measures to modify the PIB to ensure its success when passed into law.

While extending the OPTS support to the ongoing effort to provide a legal framework for the oil and gas industry in Nigeria, Sangster urged the National Assembly to accommodate provisions in the PIB that would protect the existing investments of foreign investors.

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