The Minister of State for Petroleum Resources, Timipre Sylva, has said that the decision by the Organisation of Petroleum Exporting Countries and it’s allies often referred to as OPEC+ was in the best interest of the oil market.
According to a statement signed by the Minister, the decision of the oil cartel and its allies would ensure the long term stability of the market.
There has been opposition to the decision by several countries saying OPEC+ decision is not in global interest.
He said: “The decision taken by the OPEC+ during our meeting on st October, 2022 10 voluntary adjust crude oil production downward by two million barrels per day was unanimous. It was taken for the exclusive purpose of ensuring the long-term stability of the oil market.
“It was purely to balance supply and demand, and forestall a degeneration of the current volatile oil market to a situation where larger production cuts will be required fo balance it.
“This proactive decision was based on a thorough assessment of market conditions as OPEC plus has always been guided.
“In spite of the decision by the body of oil producers, Nigeria may not benefit as oil theft and pipeline vandalism continues to erode the would be gains of the decision.”