Business
Crude oil price falls below $64 as OPEC+ countries, Iran flood market.
The Organization of the Petroleum Exporting Countries and allies, known as OPEC+, agreed on Thursday to monthly production hikes from May to July. OPEC member Iran, exempt from making voluntary cuts, is also boosting supply.
According to Reuters, Brent crude for June fell $1.36, or 2.1%, to $63.50 a barrel by 1120 GMT. U.S.
“The OPEC+ decision, perhaps nudged along by increasing Iranian production heading to China, probably means we have seen the best of the oil rally now for the next few months,” Jeffrey Halley of brokerage OANDA said.
Oil has recovered from historic lows last year with the support of record OPEC+ cuts, most of which will remain after July, and some oil demand recovery that is expected to gather pace in the second half of the year.
While a slow vaccine rollout and return to lockdown in parts of Europe have weighed on the rebound, figures on Friday showed the U.S. economy created the most jobs in seven months in March, with all industries adding jobs.
“The seemingly invincible accelerating U.S. recovery has offset OPEC+’s announcement on Thursday,” Halley said.
In another development that could eventually lead to more supply, investors are focused on indirect talks between Iran and the United States as part of negotiations to revive the 2015 nuclear deal between Tehran and global powers.
Eurasia analyst Henry Rome said he expected U.S. sanctions, including restrictions on Iranian oil sales, to be lifted only after these talks are completed and Iran returns to compliance.
Iran has already boosted exports to China despite the sanctions.
Business
Access bank laments cargo glut, financial losses to importers caused by its service glitch
Business
Tantita Security dazzles at OTC, USA
Business
“You lied” – FG lambasts cement manufacturers over hike in product price
The minister further declared that the excuse of an increase in mining equipment should not come up because equipment bought by the manufacturers has been used for decades and not purchased every day.
However, he noted that if the government decides to open the border for mass importation, prices of cement would crash and local manufacturers would be gravely affected.
The minister, who called on the manufacturers to be more patriotic, said BUA Cement, for instance, has been willing and is still willing as at the last time he spoke with them, to crash the price of their cement, lower than the N7000, N8000 agreed by the manufacturers and he sees no reason why the others should not do same.
“The challenges you speak of, many countries are facing the same challenges and some even worse than that but as patriotic citizens, we have to rally around whenever there is a crisis to change the situation.
“The gas price you spoke of, we know that we produce gas in the country. The only thing you can say is that maybe it is not enough.
“Even if you say about 50 percent of your production cost is spent on gas prices, we still produce gas in Nigeria. It’s just that some of the manufacturers take advantage of the situation.
Earlier, Group Chief Commercial Officer of Dangote Cement, Rabiu Umar blamed the high cost of gas and mining equipment for the hike in cement price.
He said: “It is safe to say we are all Nigerians and we are all facing the current head weight that is happening. I would like to speak on the popular belief that most of the raw materials to produce cement are available locally.
“While we have limestone and in some cases, we have gypsum and some cases coal, the reality is that it takes a lot of forex-related items to produce cement.
-
Headlines2 months agoNRC police tracks down mastermind of railway vandalism in Kaduna
-
Customs3 months agoOshoba preps up Customs officers, stakeholders for increased operational activities at Apapa Port
-
Customs3 months agoBeyond euphoria of WCO chairmanship: Stakeholders urge Nigeria to translate global Customs ascendency to reformation of Port industry
-
Headlines3 months agoNRC blames Abuja – Kaduna train derailment on over- speeding, misapplication of breaking system
-
Headlines1 month agoDenmark, Nigeria seek new areas of collaboration on maritime development
-
Headlines2 weeks agoEx-NIWA boss, Oyebamiji, emerges most media-friendly CEO in maritime industry
