OPEC Seeks to Contain Its ‘Problem Children’

22 Sep 2017   OPEC

The oil refinery in Warri, Nigeria, pictured in August 2015, has roared back to life after years of neglect. Nigeria and Libya have added 550,000 barrels a day of crude-oil production since October, wiping out almost half of the cuts achieve by other members of OPEC. The Organization of the Petroleum Exporting Countries is scrambling to contain output from its strife-torn members Libya and Nigeria, where surging production could threaten to derail the oil cartel’s efforts to withhold crude supply and raise its price. Libya and Nigeria were exempt from OPEC’s agreement last year to join with Russia and other producers to cut about 2% of the world’s oil production . The countries’ oil industries at the time were crippled by civil unrest and weren’t expected to recover any time soon. Both have since struck deals with militants that turned on the spigots again. Libya and Nigeria have added […]

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