Nhistory of crude oil exploration in nigeria pdf

Subsequently, crude oil production for refineries was reduced further to as little as 75,000 barrels 11,900 m 3 per day during the regime of sanni abacha. May 07, 2016 nigerias quest for increased crude oil production and reserves is on the verge of being achieved with the commencement of oil exploration in offshore lagos, at the aje field located in oil. Given this scenario, the misuse of oil revenues and the denial of the oilbearing communities access to the oil wealth are some issues that have exacerbated political discontent and provoked internal political violence in africa especially in countries like angola, sudan, congo brazzaville, chad and nigeria. Jan 07, 2019 an oil exploration licence this licence is nonexclusive and granted in respect of areas of unproven reserves for the exploration of petroleum. The discovery was made by shellbp, at the time the sole concessionaire. Oil theft is a species of organized crime that is almost totally off the international communitys radar, the report says. Also the history of successive revenue allocation arrangements in nigeria has. However, they have left trail of woes in their path with so much damage to the ecosystem and problems to human life in the exploration region. While only the 11th largest producer globally, nigerias international importance arises from its high quality crude, accessibility. Oil exploitation and its socioeconomic effects on the niger. Oil exploration in the niger delta region according to azaiki 2003, the search for crude oil in nigeria began as far back as 1908 when a german company, the nigerian bitumen corporation, started exploration in the araromi area of western nigeria. At the initials stage, shell darcy later shell british petroleum enjoyed a complete monopoly of oil exploration for a considerable long time 1938 1955. Nigeria is an oil producing country and crude oil is an important asset to its economy.

Nigerias oil industry and economy have been suffering badly, not only from the low oil prices but also from the persisting militant attacks on oil infrastructure that have crippled crude oil. Nigeria s total petroleum refining capacity is 445,000 barrels 70,700 m 3 per day, however, only 240,000 barrels 38,000 m 3 per day was allotted during the 1990s. Nigeria extractive industries transparency initiative. Aug 03, 2009 oil was discovered in nigeria in 1956 at oloibiri in the niger delta after half a century of exploration. Darke in 1859 to 1956 when crude oil was first discovered in commercial quantity at oloibiri in the present day bayelsa state in nigeria. The historical trajectory of crude oil exploration and. Oil exploration in the nigerias niger delta resumed in 1946 after world war ii and shell darcy drilled a number of oil exploration wells in 1951. Furthermore, the presence of crude oil in the region has attracted many oil multinational companies that engage in. Linkages between crudeoil exploration and agricultural. However, the region is suffering from devastating oil pollution.

Pdf crude oil and the nigerian economic performance. The nigeria petroleum refining company nprc exploration for crude oil commenced in nigeria in 1937 when shell darcy was granted the sole concessionary rights over the whole territory of the country nigerian national petroleum corporation nnpc. The niger delta is home to an extraordinary variety of people. Environmental impacts of oil exploration and exploitation in the niger delta of nigeria. Impacts and management of oil spill pollution along the. Also, 40,000 barrels of light crude oil were spilled in 1998 by exxonmobil in eket da costa, 1999. Since oil operations began, 546 million gallons of oil have spilled into nigerias niger delta. Health of mother earth foundation homef, a nongovernmental organisation ngo, said oil exploration by multinational companies was a major contributor to. United states of america where the first all well was drilled by edwin l. These themes include the impact of the oil industry on nigerias workers. A bibliographical reconnaissance history in africa. Oil in nigeria history1908 exploration commenced1914 brought to an abrupt end by ww i1937 resumed by anglo dutch consortium1947 brought to an abrupt end by ww ii1956 commercial discovery in the niger delta 5100bpd civil war 1967 1970 oil production grossly affected irregularities in sharing formula. Crude oil was discovered by shell british petroleum, now called royal dutch shell, at oloibiri, a village in bayelsa state, in 1956.

We need to invest in oil exploration and development in order to have production capacity available. Nigeria joined the ranks of oil producers in 1958 when its first oil field came on stream producing 5,100 bpd. This research focuses on the analysis of importation and exportation of crude oil products measured in. Currently, nigeria is the largest oil producer in africa and the production of petroleum in the country plays a dominant role in the economy with over 90% of gross earnings coming from crude oil.

Later in 1946 shell democracy the predecessor of shell petroleum development company spdc of nigeriadiscovered oil in oloibiri. Major events in the history of the nigerian oil and gas. By 1961 a host of other multinational oilcompanies have made their way into the nigeria niger delta region both onshore and offshore. Intensify oil exploration in northern nigeria, presidency. Crude oil exploration in nigeria dates back to 1908 with the discovery of deposits at araromi area in ondo state. Oil exploration in colonial nigeria university of helsinki.

Origin and occurrence of crude oil in the niger delta, nigeria. Nigeria is the main west african hub for other types of organised. An oil exploration licence this licence is nonexclusive and granted in respect of areas of unproven reserves for the exploration of petroleum. This means that nigeria absolutely depends on export from crude oil for her foreign revenue gilbert, 2004. Ten crude oil samples were collected at stratigraphic depths ranging from 4646 to 9877 ft in four producing fields of the onshore and offshore niger delta.

The bonga oil platform produces 225,000 barrels of crude oil per day on its computerized, production, storage and. The anglosaxon petroleum, according to steyn 2009, was renamed by that of the shell overseas. Since the discovery of oil in nigeria in 1956, the country has been suffering the negative environmental consequences. Pdf petroleum exploration and production in the nigerias niger delta region and. Framework paperi oil and gas resources in the federal. It is hypothesized that palm crude oil production does not have any significant impact on economic growth in nigeria. The pre1950s search for oil is a largely neglected period in nigerian oil history with no article nor book devoted exclusively to the topic. This paper examines the question as to whether crude oil resource is a blessing or curse to nigeria.

This report is an exploration of human rights violations related to oil exploration and production in the niger delta, and of the role and responsibilities of the major multinational oil companies in. Evaluation of some oil companies in the development of. Oil exploration and security challenges in the nigerdelta. This leads one to wonder why the british showed the level of interest they exhibited, bearing in mind that the industrial sector was one aspect of the nigerian economy that they were most reluctant to develop.

In 1938, shell d arcy were given exploration license to find oil all over nigeria. The nigeria bitumen corporation was founded in november 1905 with the aim to acquire and work the exploration concessions of nigeria properties and the nigeria and west african development syndicate. That is, odularus period of study was1970 to 2005 while this present study covers 2000 to 2009, which is different from previous works. Oil exploration and poverty in the niger delta region of. Alternatively you can download a pdf containing the link which can be freely. Secondary data were sourced from the central bank of nigeria and were analyzed using the ordinary least square econometric technique with a. Oil and gas exploration and production laws in nigeria. Over the past two decades, at least a dozen pipeline disasters have killed thousands in nigeria. Sep 02, 20 oil theft is a species of organized crime that is almost totally off the international communitys radar, the report says. Again, three million barrels of oil were lost due to 6,817 oil. History of crude oil exploration in nigeria nigerian. Pdf origin and occurrence of crude oil in the niger delta. Thats the equivalent of an exxon valdez disaster happening every year for nearly 50 years. Review of some impacts of oil exploration and production.

Pdf origin and occurrence of crude oil in the niger. This contribution consists of proceed from oil export, local sale of crude oil for domestic refining and local sale of natural gas. Nigerias economy is heavily dependent on earnings from the oil sector, which provides 20% of gdp, 95% of foreign exchange earnings, and about 65% of budgetary revenues. Oil fractionation and gas chromatographymass spectrometry analyses. The nigerian national petroleum corporations quest to find oil in the northern part of the country shifted to the inland basins with the commencement of exploration activities in the benue trough. This discovery opened up the oil industry in 1961 in nigeria, bringing more oil firms like the agip, mobil, safrap now elf, texaco and cheveron to petroleum prospecting both in on shoreoffshore areas of nigeria nigeria national petroleum corporation, nnpc. The oils were fractionated by column chromatography on silica gel.

Nigeria is the largest oil and gas producer in africa. History of the nigerian petroleum industry oil was discovered in nigeria in 1956 at oloibiri in the niger delta after half a century of exploration. Review of some impacts of oil exploration and production in. The history of oil exploration in nigeria dates back to 1903 when nigerian bitumen corporation. Yet the vast oil revenue that has come to the federal government and the states of nigeria has done little to raise the living standard of the poor people who live in the delta. Origin and occurrence of crude oil in the niger delta, nigeria article pdf available in journal of petroleum science and engineering 612.

The economic importance of crude palm oil in nigeria by. It is a fact that crude oil export accounts for about 97. The oil exploration and exploitation industry which is majorly centred in the niger delta region is without doubt currently the most important earner of foreign exchange to the nigerian economy. Evaluation of some oil companies in the development of niger. The delta region also known as the oilproducing states is known for its abundant crude oil deposits, and this has been the mainstay of the countrys economy since its commercial discovery and exploration. Real gross domestic product, domestic crude oil consumption and crude oil export in nigeria, the period of his study like some other previous ones were different from this study. Oil and gas exploration and production laws in nigeria lexology. The rundown of major events in the history of crude oil in nigeria has been dully highlighted below.

The discovery of crudeoil exploration and exploitation in the crudeoil producing zones has made nigeria to experience eruptive and rare changes in her economic growth, particularly in the past fifty years when crude oil export replaced agriculture as the basis of the nigeria economy. Oil was discovered in nigeria in 1956 at oloibiri in the niger delta after half a century of exploration. May 03, 2015 nigeria joined the ranks of oil producers in 1958 when its first oil field came on stream producing 5,100 bpd. However, the contribution has been limited due to substantial. These account for most of its exports and about 70% of government revenues. Oil and gas resources in the federal republic of nigeria wumi iledare1 and rotimi suberu2 1. May 18, 2016 the oil exploration and exploitation industry which is majorly centred in the niger delta region is without doubt currently the most important earner of foreign exchange to the nigerian economy. For the last nine years, the united states has imported between 911 percent of its crude oil from nigeria. The most controversial spills come from pipeline blasts. That is, odularus period of study was1970 to 2005 while this present study covers 2000 to.

Aug 04, 2011 a major 1970 oil spill in ogoniland in the southeast of nigeria led to thousands of gallons being spilt on farmland and rivers, ultimately leading to a. Nigerias oil refinery capacity set for muchneeded increase. In this post, we take a look at the history of this black gold as well as the economic importance of crude oil in the country with a focus of partnerships with other countries and international oil companies. Linkages between crude oil exploration and agricultural development in nigeria. Oil in the nigerian context nigeria is subsaharan africas largest oil producer with reserve levels that far exceed those of its neighbours. The find was made by shellbp, at the time the sole concessionaire.

Department of agricultural economics and extension, joseph ayo babalola university, ikejiarakeji, nigeria email. Oil exploration causes environmental warming in nigeria. Oil exploration and exploitation has been ongoing for several decades in the niger delta. Nigeria joined the oil producers in 1958 when its first oilfield came on stream at 5,100 bd. Similarly, statistics also reveal that a total of 2,796 oil spills were recorded in nigeria between 1976 and 1990, resulting in the spilling of 2,105,393 barrels of oil. Environmental impacts of oil exploration and exploitation. Crude oil exploration, underdevelopment, resource curse, nigeria. Nigeria is the largest oilproducer in subsaharan africa, with about 32 percent. But official figures are as murky as its polluted creeks. Nigeria is an important oil supplier to the united states. It has had disastrous impacts on the environment in the region and has adversely. Safely and environment in oil and gas exploration and production 2, hague. The discovery of crude oil in nigeria provided for its socioeconomic viability and has contributed to.

Crude oil was first discovered in commercial quantities in nigeria in 1956, while actual production started in 1958. Designed to process some 650,000 barrels of crude oil each day, this will increase nigerias existing refining capacity of 446,000 barrels per day considerably. That operation almost grounded oil business in nigeria and made the country to cede her position as the foremost oil exporter in africa to angola punch, 2009. Map of nigeria showing the oil producing states in niger delta region. Implications for relevant qualitative data collection and analysis to improve rural economy. The entry of shell darcy exploration company into the search for oil across the entire nigeria colony in 1937 marked a watershed in the history of oil and gas resources in the niger delta region. The paper traces the origin of oil exploration and exploitation from titusville in pennsylvania.

After nearly 50 years of exploration, the oil and gas sector continues to play a significant role in the economy and accounts for 65% of total revenue to the government. Crude oil was first discovered in commercial quantity in oloibiri in presentday bayelsa state in 1956 when shell darcy drilled the first. Nigeria crude oil directory provides list of made in nigeria crude oil products supplied by reliable nigeria crude oil manufacturers, traders and companies. Oct 26, 2017 oil search in the nations inland basins received a fresh impetus following the commencement of exploration activities in the benue trough by the nigerian national petroleum corporation nnpc. The bonga oil platform produces 225,000 barrels of crude oil per day on its computerized, production, storage and offloading platform mbah, 2008. The light, sweet crude is readily refined into petrol and there are considerable reserves in nearby sao tome, gabon and cape verde. Nigeria is the largest oil and gas producer in africa with a.

Oil production in nigeria in barrels per day 2018 statista. Darke in 1859 to 1956 when crude oil was first discovered in commercial quantity at. Oil exploitation and its socioeconomic effects on the. Overview nigeria, with an estimated population of 140 million, ranks among the top 10 nations in proved oil and natural gas reserves. After 1960, exploration rights in onshore and offshore areas. The pioneering effort of this company was aborted by the outbreak of the first world war in 1914. Oil exploration and spillage in the niger delta of nigeria. Faculty of physical sciences university of nigeria, nsukka. The niger delta region is the oil producing area of nigeria, which consists of highly diverse ecosystems that are supportive of numerous species of terrestrial and aquatic fauna and flora. Britain, mercy and oil wells in the world and nigeria.

Accepted 4 january, 2011 oil exploration and exploitation in nigeria have evolved through a long history. Oil search in the nations inland basins received a fresh impetus following the commencement of exploration activities in the benue trough by the nigerian national petroleum corporation nnpc. President muhammadu buhari has ordered the nigerian national petroleum corporation, nnpc, to increase the tempo on crude oil exploration activities in the northern part of the country. Linkages between crudeoil exploration and agricultural development in nigeria. Jul, 2011 since oil operations began, 546 million gallons of oil have spilled into nigeria s niger delta.