The US is believed to soon resume its oil trade relations with Nigeria by purchasing ‘very limited’ quantities of Nigeria’s crude, according to a statement by Nigeria’s Minister of State for Petroleum, Ibe Kachikwu, reported Daily Post.
The Minister revealed no further details. The expected trade deal is likely to have come as a result of Nigeria’s President, Muhammadu Buhari’s visit to the US in July 2015.
Kachikwu added that the US suspension of crude purchases had been wrong since three of the major oil producing companies in Nigeria were US-based and had up to 40% share in Nigeria’s production outputs. In fact, as Kachikwu explained, three US oil majors, including ExxonMobil, had never stopped oil trade with Nigeria, as they kept exporting their shares in Nigerian crude to their own refineries. However, what Nigeria is aiming at now is to open a trade with the remaining 55% to 60% of crude owned by the Nigerian National Petroleum Corporation (NNPC), the Minister specified, according to AllAfrica.com.