There is consensus to stabilize fiscal framework to assure oil investors – Sylva

The Minister of State for Petroleum Resources, Chief Timipre Sylva, said there is a consensus among all core stakeholders in the oil sector– industry, Nigerians and government – to stabilize the fiscal framework so that investors will be certain and move their money to Nigeria.

“We are banking on the fact today to make that promise on the fact that there is a very cordial relationship now between the legislature and executive.

” Today Nigerians all agree that there is a need for us to pass the PIB.

” For so long we have been quivering about the PIB, for more than 20 years. And for so long, we have not been able to attract a lot of investment into the oil sector.

” Let me give you an example, by the year 2002, our oil reserves stood at around 22 billion barrels. We were able to grow that reserve from 22 billion barrels to 37 billion barrels by 2007.

” From 2007 to now, we have only been able to grow our reserves from 37 billion barrels to 37.5 billion barrels, in more than 10 years. Why? Not much investment is coming into Nigeria,” he added.

He noted that investors could not invest in Nigeria if the fiscal framework was shaking or uncertain.
“If nobody knows when laws will be passed, nobody will want to invest new capital in Nigeria. And that is why you see that we have almost been stagnant in the Nigerian oil industry.

” There are very great opportunities in Nigeria, and I believe if we can only stabilize the fiscal framework and bring peace to Nigeria, investments will flow into Nigeria.

“That is really what gives me the confidence to say that there is a consensus now among all patriotic Nigerians that in six months the PIB will be passed,” he added.

On revamping of the refinery, he said that rehabilitation of Port Harcourt refinery would start in the first quarter of 2020.

We are going to start the rehabilitation of the Port Harcourt refinery which is the biggest refinery in Nigeria, if we are able to finish the port Harcourt refinery, we would have achieved a lot as a government. “

“Meanwhile we are also continuing with studies around Warri refinery, we are also continuing discussions around Kaduna refineries,” he said.