A Professor of Geology, Nuhu Obaje, has said that agriculture and mining will pose a serious threat to crude oil as Nigeria’s major revenue-earner.
Obaje, a don at the Ibrahim Badamasi Babangida University Lapai (IBBUL), in Niger State, however said, oil will still continue to be a very essential export commodity that will contribute significantly to the nation’s economy.
In a paper he authored, Prof. Obaje, who is the pioneer Head of the Nigerian National Petroleum Corporation (NNPC) Professorial Chair at the institution, observed that oil will remain the source of primary energy in the country.
“In the years ahead, oil will not go away. It will stay, but not alone. Corona or no corona, population will grow. Supply and demand will expand. The economy will be diversified. Oil will go into a stiff competition with agriculture, mining and manufacturing as key players,” he said.
The renowned geologist, however explained that, the gaseous component of oil will become even more desirable as industrialization steepens and the need for cleaner energy becomes more imperative.
He said: “We will overtake Angola and other African countries that are presently ahead of us. Bauchi, Gombe, Borno, Yobe, Adamawa, Taraba will become oil-bearing/oil-producing states within the geological Upper Benue Trough. Plateau, Nasarawa, Benue will join through the Middle Benue Trough exploration campaigns. Oil will be found in Bida and Sokoto Basins to enable Niger, Kogi, Kwara, FCT, Sokoto, Kebbi, Zamfara States to be part of the oil-producing league.
“More discoveries will be made in the Anambra and Dahomey Basins, to admit Enugu and Ogun States. Despite controversies, Kogi State, through some drillings in the Northern Anambra Basin became, technically, the first oil-producing state in the North but politically not so recognized yet. It is sharing in that controversy with Anambra State which has gotten a position in the derivation sharing. Anambra and Lagos were the latest arrival in the oil states.
“Nigeria will become a giant shore (on- and off-) of oil fields producing in physically sustainable environments. Nigeria national Petroleum Corporation(NNPC) will become a giganpoly, taking the lead already in the frontier basins. It will open up the spaces for local and international oil and gas investors. The Directorate of Petroleum Resources (DPR) will be further heavily tasked to manage the wide spread acreages as they become more lucrative.”
Prof. Obaje, further stated that oil will transform to feedstock for many industries in addition to retaining its position as a major source of primary energy.
“Oil will compete favourably with other sectors. Mining and manufacturing will be encompassed in the revamping and operation of the Ajaokuta Iron and Steel Company and the steel industry generally. The iron and steel industry is sine-qua-none to the development of any nation and it is often considered an indicator of economic progress, because of the critical role played by steel in infrastructural and overall economic development.
“The industry usually generates massive employment, direct and indirect. The products are needed in every sector of the economic and industrial value chain, from construction to automobile, oil and gas and other infrastructure. The operation of iron and steel industries propels large scale mining of other minerals which are needed as raw materials.
“The operation of iron and steel industries in Nigeria therefore will revive solid mineral mining creating further multiplier effects in employment generation and foreign exchange conservation. The Nigerian steel industry was designed to be at par with, or take over from the mono-cultural oil economy. Finally, only constant and reliable power supply and energy availability can ensure the realization of these dreams and forecasts,” the IBBUL don said.
