By Udeme Akpan
THE price of Nigeria’s Bonny Light, Monday, dropped to $61.54 per barrel over fears of Coronavirus pandemic resurgence in India, a major importer of the nation’s crude.
The price of the crude had risen to over $63.50 in the global, shortly after the recent meeting of the Organisation of Petroleum Exporting Countries, OPEC, and non-OPEC Members.
READ ALSOImplementation of consolidated salary not possible in March – Kano Govt
According to Oilprice.com, “On Monday, news out of India, the world’s third-largest oil importer, showed that demand recovery continues to be a rocky path. India reported its highest number of new daily coronavirus cases since the pandemic began and reinstated lockdowns in some areas, including in its biggest city, Mumbai.
“India’s lockdown and continued lockdowns in major European economies, including Germany and France, are once again rattling the oil market amid fears that expectations of strong demand from now on may not materialize.”
At the end of the recent meeting, OPEC stated: “The Meeting approved the adjustment of the production levels for May, June and July 2021, while continuing to adhere to the mechanism agreed upon in the 12th OPEC and non-OPEC Ministerial Meeting (December 2020) to hold monthly OPEC and non-OPEC Ministerial Meetings to assess market conditions and decide on production level adjustments for the following month, with every adjustment being no more than 0.5 mb/d.
“The Ministers reviewed the monthly report prepared by the Joint Technical Committee (JTC), including the crude oil production data for February.
“They recognized the improvements in the market supported by global vaccination programmes and stimulus packages in key economies but noted that the volatility observed in recent weeks warrants a continued cautious and vigilant approach in monitoring market developments.”
The post Bonny Light price drops to $61.54 appeared first on Vanguard News.