Nigeria to Supply 25% of US Oil by 2015
From Constance Ikokwu in Washington, D.C., 12.17.2008
Nigeria’s crude oil export to the United States will leap to 25 per cent by 2015. The Minister of Foreign Affairs, Chief Ojo Maduekwe, made the revelation while delivering a speech at the Southern Center for International Studies, Atlanta, Georgia, entitled “Old Ties in New Times: Nigeria and the next USA Administration.”
The estimate is a progression from the current 15 per cent Nigeria exports to the country and may be an indication of US government’s shift from Middle East oil to African sources.
Nigeria has already surpassed Saudi-Arabia and Venezuela which were two main sources of oil to the US economy.
An increase to 25 per cent will make Nigeria the fifth largest exporter of the commodity to the US.
In his speech, Maduekwe outlined the future relationship of Nigeria and the US as defined by oil.
“The fairly robust profile of Nigeria-US relations can be explained by several factors. One the one hand are the factors of oil and gas resources and geo-strategic leverage of Nigeria in the region.
“We are estimated to supply about 25 per cent by the year 2015. Currently, this makes Nigeria the fifth largest supplier of crude oil to the United States, meaning that Nigeria has been, and will be, substantially relevant to the energy security of the United States in the foreseeable future,” he said.
According to Maduekwe, oil resources for Nigeria boosts foreign exchange earnings and enhances “economic capacity” for the country's peace-keeping activities on the African continent.
He added that the relationship which in his view is cordial has “complemented government-to-government relations that has transcended political, military, economic, technical, immigration and cultural co-operation at various levels”.
Experts say demand for energy is expected to rise in the near future, causing a squabble over scarce resources.
More than 40 per cent demand will come from China, 20 per cent from India and 20 per cent from the Middle East, says an estimate released last month by the International Energy Agency (IEA).
On a global level, world oil production is expected to rise from 82 mb/d in 2007 to 104 mb/d in 2030 in the Reference Scenario.
