Implication of Oil and Gas Investment in Ghana

In order for Chad’s economy to succeed in the future, major reforms on oil revenue transparency are necessary. As a result of social and political conflicts, Chad has historically been characterized by division and warfare. Since the discovery of oil during the 1960s, these conflicts have only been exacerbated. The oil pipeline that began construction in 1999 as a result of this discovery inadvertently fueled the tension that had been created. The revenues that were generated from the pipeline were not allocated with transparency, which caused dissent on a global scale. This project was supposed to be an example for all oil-dependent developing countries that agreement and control of revenues could help grow a country’s economy. Ultimately, the methods used to control the revenues in Chad have been inefficient, and are in need of further reforms such as improved national dialogue and access to information.

Niger Delta region, placing the Nigerian oil output down to a third of its capacity” (Klare 3).

During the past three weeks I have been reading a book called The Prize, by Daniel Yergin. I decided to read this book because it traces the history of the oil and gas business dating back to the mid eighteen hundreds up to recent times. This book is important because oil production is one of the biggest economic issues around today. The Prize explains the fluctuations in the oil business beginning with Edward Drake 's first successful oil well in Pennsylvania, followed by Teddy Roosevelt 's anti-monopoly case against Standard Oil and finishes with the development of the oil industry in Saudi Arabia.

The global spread of oil drilling is connected to the reasons why oil was first exploited in the first place; it was plentiful, it had the highest energy density per weight, it was not already being exploited. Chief to the purpose of this paper on oil drilling lies in the words was and had. The fact that those words are in the past, and the idea that things superior to oil have come along, is something that needs to be brought up more often. The fact is that oil, as a resource, is simply out of date. The addiction that humanity has to ‘black gold’ is unprecedented in the history of mankind, and the reasons why this addiction is more dangerous than any standard addiction are numerous.

By the same token, the movie “Big Men” reveals the deprave business practices in Nigeria and Ghana, labeling Nigeria one of the most corrupt governments in the world. Between 1960 and 1999, the Nigerian government wasted over 440 billion dollars of Nigerian profit, mainly from oil wealth. Despite the majority of the oil being drawn from the Niger Delta, a very impoverished region, the natives of that region have no access to this abundant, valuable resource (00:25). Militant groups began to form in opposition to the oil corporations, intentionally cutting and sabotaging pipelines to get a part of the wealth. In addition to being selfish in their profits, businesses promoted the devastation and intentional deterioration of resident towns to distract from their unjust oil bunkering endeavors (01:05). Natives, specifically those who participate in oil pipe sabotaging, describe their situations as the equivalent of “shooting themselves in the foot”, as they hate that they are destroying their towns and worsening their circumstances, but see no other option for retribution. Fires

The creation of new states that was connected to the Niger Delta Region in 1967 gave a resurrection of hope to the many minorities in the region, yet sadly, even though the new state governments did its utmost best to grow and develop however was insufficient, particularly the complex of many ethnics groups to count on and in view of natural resources in some communities. In any case, a second endeavor at developing the region, which at this point has ended up synonymous with oil exploration and depletion was, nevertheless, made by the military President Ibrahim Babangida in 1992 when the Panel of the Oil Mineral Producing Area Development Commission (OMPADEC) was initiated.

The Nigerian economy has quite the surplus of natural resources they offer the potential for economic growth. “Crude oil accounted for over 95% of exports and over 65% of government revenue in 2004;” Nigeria is number eight in the world's exporter for oil. But agriculture still is a big part in the basic economic activity for the Nigerians.

Within no doubt that oil and gas are the most vital components of our daily life, this industry is currently experiencing its transformative periods. There are a lot of changes that would bring both opportunity and threat to oil and gas industry in the future. The oil and gas market showed a not optimistic trend during the past year, according to England (2015), during 2015, the overall cash flow keep diminishing and the situation also become weaker than before. The main competitors of Exxon Mobil Corporation are Royal Dutch Shell, Chevron Corporation and BP.

The poor relationship between the oil companies and the communities in the Niger Delta is not sudden, it 's historical context dates back to as early as the 1930 's and 1950 's. It was 1937 when two British oil companies merged into what today is known as Shell. Shell replaced the initial German oil company in the area from 1908 (Umejesi, 117). Shell set up impressive human and material forces and conducted their first drilled oil well in 1951 in the city of Iho. Worry quickly struck everyone in Nigeria. Shell worried they would not find

Oil companies operate in defined regions where oil exploration and possible drilling is done. However some companies such as Shell BP engage in international drilling and distribution of oil products. Below are some of the most renowned oil companies in their constituent continents: Africa: Sasol of South of South Africa and National Petroleum Company of Congo. In Asia some of the leading oil companies include Nobel Group and the Bahrain Oil Company. It is important to note that Asia has a lot of oil resources and hence have extensive oil drilling activities. In Europe we have Partex oil and Gas Company, in South America three is Bridas Corporation based in Argentina. North America has one of the most advanced technology in the oil industry. These companies have extended their activities around the globe in a bid to discover more oil resources to sustain future energy requirements. Some North America companies include Shell Oil Company and the Apache Corporation. This paper will focus on the importance of oil companies over and above the problems that they pose to the environment as well as the political stability of the world. For practical examples I chose to use the state of Alaska where oil companies have based their operations as a case study.

Oil production in Nigeria’s Niger Delta began in 1956. Ever since then, the Delta communities have recognized unrest as oil was being distributed in profitable quantities. Oil has been Nigeria’s leading export product for more than six decades. Even though, oil has given Nigeria a tremendous economic boost, nearly sixty percent of that oil production has been carried out under Shell’s regulation, and during these past six decades, there has been enormous environmental degradation because of frequent oil spills and gas flaring. This has led to a polluted fish ponds and declining growth of crops in Niger communities. Shell has personally financed Nigerian militants to insure the production of oil, and this has led to brutal murders and illegal executions of community members who tried to protest the damages that shell was creating to their environment. So why and how is Shell still operating and still committing human right crimes in Nigeria? This paper will explain why Shell has dominated Nigeria since the 1950s, how the company has damaged the lives of numerous communities, insured the production of oil to this day through militant use, and still managed to separate themselves from the many years of violence that they founded.

The purpose of this paper is to critically analyze the case “Shell Oil in Nigeria” presented in our text book “Business and Society”. Here we discuss the company’s mission statement, their crisis in Nigeria, and the resulting outcome of their actions. Further we make some recommendations for future actions that may help Shell’s alleviate their crisis in Nigeria.

Nigeria is the 7th world largest oil producer and is a major player in the world energy market. Oil and gas is Nigeria’s main source of revenue. It accounts for about 40% of the Gross Domestic Product and 70% of government revenues (Lawal 2004). Crude oil was first discovered in 1956 by Shell British Petroleum in a small village called Oloibiri present day Bayelsa State. Two years later oil in larger quantities was discovered in Ogoni.

Nigeria obtained their independence from Britain on 1st October 1960. Within the country of Nigeria, they have over 371 tribes, but the main three that is well known are, Igbo, Hausa, and Yoruba. Within those 371 tribes, they have 521 languages. Nigeria is well known for their petroleum, and they have other natural resources include tin, iron ore, coal, limestone, niobium, lead, zinc and arable land. The maximum crude oil production capacity of Nigeria is 2.5 million barrels per day, and the whole world consumes an average of about 19.4 million barrels per day. One might ask, what is the problem with a country with the maximum capacity of oil production at 2.5 million a day? The problem with the country of Nigeria, according to my research, shows that its people are living in poverty. The country does have people who are blessed with money, but it also has people who cannot afford anything to eat for a day. According to the Food Aid International organization (FAI), “3000 adults and children die every day of hunger and poverty,” (Xinhua).“BBC news.” Another statistic from, “UNICEF, ORG,” illustrates, “About 70.8 percent of the population lives on less than $1 a day, and 92.4 percent lives on less than $2 day.” My research shows that the contributing factor of these massive poverty among citizen is caused by, unemployment, high inflation rate, high-interest rate, poor economic planning, high taxation, policy conflict, and corruption. But my study focuses on the leading factor

As advisors to governments in oil and gas producing states, many new to the sector, we seek to link activities involved in the business and