OVER $2bn GENERATED FROM OIL BLOCK LICENCES TO FUND 2019 BUDGET, SAYS MINISTER OF STATE FOR PETROLEUM, KACHIKWU.

Isaac Ombe. 

Minister of State for Petroleum Resouces, Ibe Kachikwu has disclosed that the Federal Government generated over $2 billion from the renewal of oil block licences to fund the

According to Vanguard reports,  Kachikwu noted that the funds will be used to implement the nation’s

In his words: “We have actually asked for early renewals, because we needed to get money out of it to help finance the budget and from that process, we have actually gotten about $2  He explained that his ministry deliberately put a policy in place to hasten renewals with the purpose of funding the 2019

“I put a policy of early renewals in place so that even blocks that are not due for renewal before 2019 are being renewed right now”, he added in a chart with Journalists .  According to him, only about 30 of the fields, expected to add about 300 million barrels of crude were granted licenses by Department of Petroleum Resources (DPR)

Kachikwu said about 40 others, as well as mega fields suggested to President Muhammadu Buhari were awaiting approval. Recall that President Buhari combines his role as President with the position of Minister of Petroleum

He said the ministry is currently analysing the renewal applications lodged for the 2019 process, to ensure best use of Nigeria’s oil

“We are doing analysis on what these people can bring to bear on the time limit between which you must develop the block that you asked

“If you can’t, let somebody else get into it, and try and create a joint venture to find funding. But just holding to a block is depriving the government, state and even the investor money and it does not make any

The 2019 Budget was presented by President Muhammadu Buhari at a joint session of the National Assembly in Abuja