There may be no end in sight to the myriad of challenges facing Nigeria’s oil industry as both the federal government and the international oil companies (IOCs), are still at loggerheads over the exact amount involved in relation to crude overlift, Vanguard reports.
While the federal government said the IOCs were owed between $5 billion and $6 billion, IOCs maintained that they were being owed $10 billion as a result of crude overlift. Speaking on the issue at the ongoing Offshore Technology Conference (OTC), in Houston, Texas, the Minister of State for Petroleum Resources, Dr. Ibe Kachikwu said the federal government had the right to challenge the claims in court.
Kachikwu however, also said issues surrounding production sharing contracts (PSC), would be resolved amicably. “The PSC issues I talked about, I have already given guidelines about how it could be resolved, just as I gave guidelines about the cash calls,” he said.