Nigeria Politely Declines OPEC Invitation To Cap Oil Production

Tyler Durden's picture

The fractures within OPEC's precarioua production cut agreement are becoming increasingly more visible.

Following last weekend's report that OPEC will invite Nigeria and Libya - two cartel member states whose output was not capped as part of the Vienna agreement - moments ago Nigeria's oil minister Emmanuel Ibe Kachikwu has politely declined such an overture, saying that his country will "miss" the ministerial meeting in Russia on July 24, adding that it will eventually find the time to meet Saudi and Russian oil ministers (just not now), and that his country has no set timeframe to join OPEC oil production cuts.

"Hopefully in the next two to three months we can see how predictable the production return has been and then can say we feel stabilized and need to make the corresponding cuts," Emmanuel Ibe Kachikwu told reporters cited by Reuters.

And while Kachikwu said that Nigeria will support a cap on its production, this won't happen for a while: he said that while his country is currently producing 1.7mmbpd of crude, it will (maybe?) impose a cap only when it can stably pump 1.8 million barrels per day. He also said that he will hopefully know in "two to three months" whether oil output has stabilized before agreeing on production cuts.

Faced with the prospect of even more supply coming out of Nigeria, oil is once again on the back foot.

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Cordeezy's picture

And down goes oil again!

 

www.escapeamazon.com

 

GUS100CORRINA's picture

Nigeria Politely Declines OPEC Invitation To Cap Production

My response: What an interesting turn of events in the Energy Markets. We are beginning to see an attitude of "HELL NO, WE WON'T GO" along. 

With energy news and CHAOS in WASHINGTON, these markets appear to be setting up for a FALL of EPIC PROPORTIONS. Personally, I think this could be a real wake up call for America and the World.

It is probably getting close to the time where SHORTING will be the only GAME in TOWN. GOT YOUR LIST ASSEMBLED YET? Below is a sample of my list:

SQQQ, FAZ, ERY, TZA, TVIX, SDS, DXD, SCO. QID, etc.

Now all we need to light the fire is for a CALDERA ERUPTION in the west to bring it all home to roost.

Buckaroo Banzai's picture

It's well understood that niggers have extremely high time preference. So how could this possibly be surpising to anyone?

NugginFuts's picture

watch very carefully here... if OPEC goes down, so does the petrodollar relationship. They are the only force left pegging oil to the dollar. When that goes, down goes the dollar. 

 

silverer's picture

Then the Chinese spies put on the black clothes, and the game starts! It's all awesome!

jmack's picture

    If the dollar gets cheap, US will become a manufactturing powerhouse again.  Bring it on.

NugginFuts's picture

I'm curious what you think we manufacture around here.....?

peopledontwanttruth's picture

Exactly!
We have no factories but most importantly there's no one who wants to work. The bloated American is like the spoiled child who has his/her hands out asking for more more more, then the idiotic parents give them all they want. Later this child couldn't get out of his own way and never would do a chore around the house because they have no reason to. It's given to them

Nobodys Home's picture

Vaccines? GMO mosquitos? VX?

Too-Big-to-Bail's picture

Maybe it is because so many Nigerian Princes are trying to leave the country. I know because I keep getting emails of them wanting to give me money if I will let them store it in my bank account until they are able to leave Nigeria.

silverer's picture

Nigeria can barely keep track of their actual production, with all the illegal pipeline penetrations and hazy book keeping and all. The corrupted leaders will never stop the looting of the people there. Bad news, that place.

peopledontwanttruth's picture

Sounds like a country I live in.

Vimes's picture

Because forming a cartel is illegal!!!!!! Oh noes, no, it is not!! Yes it is ! No! Yes! No!

Fuck! I am lost......

 

 

jamesmmu's picture

Why almost none of ZH's post has any impact on the stocks? Almost all bearish, or doom, but none seems to be important enough to make a impact.

Vimes's picture

Because we are the DOOM LOVERS!!!!!!!!

and dammit it will be doom or nothing at all!

 

rf80412's picture

Gold isn't going to shoot up to $500,000 an ounce for anything less than apocalypse.

Nobodys Home's picture

MWwahaHahaHAAhaaa!!!!!!!! Bitchezz!!!

Tejano's picture

Nigeria? That's where Andrew Anglin lives. Right?

Publicus's picture

Oil is the greatest renewable resource we got, the Earth produces far more than we can ever consume.

A. Boaty's picture

If Earth produces oil, then why do we have to resort to fracking, i.e., scraping the bottom of the barrel?

Vinividivinci's picture

In order to provoke the Cascadia/New Madrid faultline.

Nobodys Home's picture

That IS going to be quite cataclysmically awesome!

Publicus's picture

We need to frackture the crust so the abiotic oil comes up faster. The proof is going to be all time low oil prices which we are beginning to see.

 

In fact, the more the crust fractures, the greater the oil production rate.

 

Forever.

lumen ex lumine's picture

Oil a renewable resource ? Well, I guess if you wait hundreds of millions of years. The earth is not "producing" oil. What you see is what you get, and "peak oil", whether we've reached that point or not, is a mathematical certainty.

Vinividivinci's picture

Nigeria politely requests that OPEC allow them to continue pumping at break neck speed...at least until the Nigerian elite, can afford a fleet of gold-plated Rolls' too.

Vilfredo Pareto's picture

Just.100,000.more.barrels.per.day.   Pump harder boys.  We can do it!

 

That is definitely the opposite of a cap lol

Fartboxbuffet's picture

Is that robert Mugabes double

JackMeOff's picture

The house of cards are crumbling.

Nobodys Home's picture

No cut! We need to drill to bring back the Chibok girls!

Nobodys Home's picture

As a Nigerian prince, I formally request a donation to enable me to cut my country's oil production.

Vilfredo Pareto's picture

He he.  Drill baby drill.   Get that gas below one buck a gallon.

dunce's picture

The policy of all you can steal, embezzle, or misappropriate requires maximum production of product.

gdpetti's picture

OPEC is a joke, the House of Saud doesn't abide by those 'caps' either... but like any bully, they except others to do so... they are alot like us, 'Do as I say, not as I do."