Don’t Over Depend On Oil, Ajumogobia Tells Uganda

By John Ofikhenua

28th July 2008

The Minister of State for Energy (Petroleum), Mr. Odein Ajumogobia yesterday advised the Ugandan team who visited Nigeria to learn how the country could explore its potentials rather than focusing solely on oil.

The delegation was in the minister’s office at the Nigerian National Petroleum Corporation (NNPC) Tower in Abuja to actually seek knowledge from the Nigerian authority which would enhance the development of Uganda participation in its own oil exploration.

However, the minister took them down memory lane that Nigeria discovered oil in 1956 and diverted investment in agriculture its economic mainstay prior to oil discovery, which is hitherto the bane of economic setback in the country.

His words: "Learn that oil has its nature which takes all the space as it goes. It tends to dominate the economy, learn not to dump agriculture. Oil took our agriculture’s place that we are nowhere today. Learn from mistakes because you are starting so it is good you pay attention to both oil and agriculture."

Ajumogobia stated that in 1956 the industry was dominated by a few companies however, it is hitherto dominated by multinational companies.

Commenting on the Nigerian content, the minister explained that it has been an adoption of afrocentric ideal that it is common heritage that certain things must be done to enhance the citizenry, although there is the belief that NNPC should be one of the conglomerates within and outside Nigeria.

Earlier, the Assistant Commissioner, Exploration and Production Department, Ministry of Energy and Minerals Development, Mr. Ernest Ruberdo said Uganda has been prospecting for oil in the past 15 years and eventually discovered it in 2006, stressing that production is billed to commence early next year.

Soliciting Nigeria’s support for capacity building, he said, "we have come to see how we can identify our opportunities and explore them and we can see that exchange of views with you who have been in oil will be of great benefit."

Source: The Nation

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