Top Lawyer & Human rights activist and in our mind one of the most consistent opponent of bad governance- Mr. Femi Falana, who we believe should also be one of the most decorated Nigerian Lawyers was credited with the mathematics calculation below. Which tried to explain in very simple terms how much of our asset (OIL) is produced daily, the cost per barrel and the total revenue that should accrue to the nation from the trade.
The whole calculation to us looks so simple, that it is baffling. Can it be that things are this straight-forward and our elected leaders are only hoodwinking us to believe otherwise? Can we seriously be making such astronomical amount of money and then we are being fooled to believe otherwise. So, if what we make is even close to the amount been bandied around, then it must mean someone has stolen us dry.
1. Crude oil production per day-2.5M barrels
2. Current price= $113 per barrel
3. Daily sales= 2.5M x 113= $282.5million
4. Monthly sales= 282.5M x 30days= $8.475billion
5. Yearly sales= $8.475billion x 12= $101.7billion
6. Naira equivalent =101.7billion x #160=16.272trillion naira per year.
7. Nigeria's budget for 2012= 4.5trillion naira.
Now the question is: Where is the surplus going?!
Analysis by Femi Falana (Lagos lawyer/Activist on Channels TV)
PLEASE, PLEASE, PLEASE, WE NEED ANSWERS.
Who can help with that?
Is it this simple?
This analysis is extremely simplistic. Is there no cost to production? Oil is produced using production sharing contracts between the FGN and oil producing companies. It is so sad that our so called "activists" will not take time to understand the issue and keep inciting people with half baked theories. If this is how money comes from oil, then the huge oil companies with global operations would have been making trillion dollar revenues. Is the price of oil a static factor? Femi Falana must be speaking from his ass!
ReplyDeleteThank you Rotimi whoever you are for saying this. I can't believe some of the half-baked analysis people are putting out there. Ridiculous!
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