1993 PSCs: The Steep Cost of Inaction
A quantitative study by NEITI and Open Oil
A quantitative study by NEITI and OpenOil shows that in 10 years (2008 to 2017) Nigeria lost between $16b and $26b for failing to trigger a review of the terms of the 1993 PSCs.
This report advocates for an urgent review of the terms of the 1993 PSCs. Such a review is particularly crucial in light of the Supreme Court judgement of 17 October 2018, where the Attorney General of the Federation was mandated to recover all lost revenue from failure to review the terms of these Production Sharing Contracts (PSCs). It is also very critical because production from PSCs has outstripped production from Joint Ventures (JVs), and thus production from PSCs constitutes now the largest component of oil production in Nigeria.
This report advocates for an urgent review of the terms of the 1993 PSCs. Such a review is particularly crucial in light of the Supreme Court judgement of 17 October 2018, where the Attorney General of the Federation was mandated to recover all lost revenue from failure to review the terms of these Production Sharing Contracts (PSCs). It is also very critical because production from PSCs has outstripped production from Joint Ventures (JVs), and thus production from PSCs constitutes now the largest component of oil production in Nigeria.
- Nigeria Extractive Industries Transparency Initiative
- OpenOil
- 2019
