One of the problems facing the Nigerian oil and gas industry is____________________?
Over-capacity utilization
The discovery of alternative oil sources
Shortage of indigenous manpower
The excess supply of petroleum products
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Discussions (13)
Thos saying the answer is either B or D.... Wrong! Option D is even a good thing, if there is excess supply of petroleum products that means the oil and gas industry is over-performing. Option B seems correct but the finding of alternative oil sources is not just a Nigerian problem it is a global problem, it is a gradual process and hasn't come into full force yet, so the demand for oil is still dominant but it will be wise for Nigeria to start diversifying.
The answer is C, you might believe that there are a lot of able men willing to work in Nigeria but there are no job, so how can it be C? The able men are not well trained to do the job, they do not have hands-on experience and are not experts. Brain drain is also another factor killing the industry. Option C is the correct answer
Shortage of indigenous or local man power is definitely the answer
Because the processing of oil and gas as not totally perform in the home but abroad
C because nigerian are not totally in refining the crude oil which affect our economy.
But Do U Knw that oil is the major source of income. It is not possible to diversifyu and loose concentration on oil and gas and move to other resources. U go for the winning team, so they lack enough man power to work effectively
Please who knows the answer to this oo. It's either B or D but i don't know which to pick. Please explain better
The correct answer is B. The discovery of alternative oil sources.
In the context of standard economics and JAMB-style questions, this refers to the global shift toward renewable energy (like solar and wind) and the discovery of shale oil in other countries (like the USA). These "alternatives" reduce the global demand for Nigeria's crude oil, leading to lower prices and less revenue for the country.
Why Option B is the Biggest Global Threat
Energy Transition: Many developed nations are moving toward electric vehicles and green energy to combat climate change.
Competition: The discovery of oil in other regions (shale oil or new offshore discoveries in places like Guyana) means Nigeria has more competitors in the international market.
Why the Other Options are Incorrect
A. Over-capacity utilization: Nigeria actually suffers from under-capacity utilization. Our refineries often operate far below their potential or not at all, forcing the country to import refined petrol.
C. Shortage of indigenous manpower: While "brain drain" is a factor, Nigeria has developed a significant amount of local expertise over the decades. The Local Content Act was specifically designed to ensure Nigerians are employed in the sector.
D. Excess supply of petroleum products: Nigeria frequently faces the opposite—scarcity of petroleum products (like PMS/Petrol) due to the lack of functional domestic refineries and distribution issues.
Other Major Problems (Internal)
While the options focused on the market, the industry also faces these internal "local" hurdles:
Pipeline Vandalism: Illegal bunkering and oil theft.
Lack of Refining Capacity: Exporting crude only to buy back expensive refined fuel.
Environmental Degradation: Oil spills in the Niger Delta affecting local livelihoods.
Would you like to discuss how the Petroleum Industry Act (PIA) was designed to solve some of these internal problems?
The correct answer is B,because many alternative resources such as coal,solar,chemical e.t.c has replace values and importance of oil.
