NNPC GMD says recent oil price surge is cosmetic

By Bamike Bamidele

Meles Kyari, group managing director of Nigeria National Petroleum Corporation, NNPC, has clarified the recent price surge.

He said the recent oil price surge is not a cause for optimism as it is largely driven by sentiment. He debunked the notion that it would boost the nation’s economy and affects the lives of citizens.

Contrary to the assumption of several critics that surge is largely driven by the increasing demand for the ‘Black Gold’, the NNPC boss argued that the prices are only driven by sentiments and not demand as speculated. Kyari disclosed this at a weekly programme tagged ‘Half-Time Talk’ organised by Gulf Intelligence, a United Arab Emirate based communication and research firm on Wednesday.

Kyari, who also represented Nigeria at the OPEC meeting held last weekend, explained that it is very obvious that the crude market would not achieve balancing earlier than 2021 and forecasts state that the world may still have over 79 million barrels excess supply by the end of the year