…the oil reform bill is expected to path productive ways for petroleum resources
President Muhammadu Buhari will soon be presented the Oil and Gas Reform Bill by the Ministry of Petroleum Resources.
Sources close to the President revealed this to Reuters.
The much anticipated bill is directed at revitalising productivity and attracting foreign investments to oil and gas sector of the Nigerian economy.
Some critical issues affecting the oil and gas sector currently including low oil prices which has led to focusing on renewable sources of fuel are to be addressed by the by the bill.
It is widely believed that the emergence of the bill will offer development initiatives to make petroleum competitive again.
According to Reuters, fiscal uncertainty has deferred the initiative on a multi-dollars expansion by Royal Dutch Shell and its allied companies, while Chevron, Total and Exxon Mobil are offering various Nigerian assets for sales.
“We hope that the final bill would be one that would unlock potential investments that Nigeria’s rich resource base truly deserves,” a Shell Nigeria’s spokesman said.
Reports reveal that the bill also make provisions to channel and reduce some royalties on oil and gas.
The source described the government slashed take of oil revenues through taxes, royalties and other charges as ‘aggressive’ compared with other economies.