Nigeria to vote amid oil industry uncertainty

AFP

31 March 2011

Nigeria to vote amid oil industry uncertainty

LAGOS — Nigeria begins elections on Saturday amid uncertainty over a major overhaul of its oil industry that has led to a freeze in new investment despite relative calm in the restive Niger Delta region.

At the same time, improvements in the Niger Delta, the country's main oil-producing region hit by years of attacks, have led to suggestions that output could be further boosted to help make up for cuts due to Libyan unrest.

The legislative, presidential and governorship elections to be held over three successive weekends may have profound effects on the industry in Africa's largest oil producer.

The oil industry is vitally important to Nigeria, providing more than 90 percent of export earnings and some two-thirds of government revenue.

President Goodluck Jonathan, the first head of state from the Niger Delta and favoured to win the April 9 presidential vote, has pushed for final approval of a wide-ranging oil reform bill.

He has pledged that the bill that has been years in the making will be passed before his current term ends in late May, but the clock is ticking.