Nigeria targets oil companies for a greater share of profits

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In a move Nigeria's president hailed as a 'landmark moment', Africa's largest oil producer approved legislation this week to bolster its share of revenues from international majors.

In a move Nigeria's president hailed as a"landmark moment", Africa's largest oil producer approved legislation this week to bolster its share of revenues from international majors.

But oil industry insiders have slammed the change as an ill-planned attempt to grab money and warn that it could prompt an exodus of investments as foreign firms turn their backs on Nigeria. The law mandated that the split of revenues between the state and the international oil firms should be reviewed if prices climbed over $20 per barrel.

Buhari's government have accused previous Nigerian lawmakers of having vested interests in making sure the bulk of oil revenues remained in private hands.

 

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