ZIMSEC O Level Geography Notes: Natural Resources: Oil in Nigeria:Problems of oil extraction
The following are problem associated with oil extractions:
- Hot humid equatorial climate is associated with high incidence of environmental diseases.
- High temperatures reduce the capability of to work.
- Slippery and unstable ground/high level of ground water makes construction of roads, railway lines and pipelines difficult.
- Numerous distributaries increase the cost of construction of bridges.
- Limited refining capacity. Refining capacity at Warri and Port Harcout cannot meet the local demand.
- Heavy dependency on foreign investment.
- Environmental pollution such as oil spills damage coastal ecosystems.
Benefits of oil extraction
- Foreign currency earnings through exporting of oil.
- Employment creation.
- Growth of industry including oil refining and petro chemicals.
- Government revenue through company taxation.
- Oil is more efficient than coal and wood when it comes to burning.
- The price of oil fluctuates greatly on the world market according to the amount being produced.
- Environmental pollution.
- General decline in agriculture due to shortage of labour which will be diverted to mining.
- Foreign companies mainly TNCs export crude oil to their countries of origin and this reduces the rate of industrialization.
- Explosion of pipelines has resulted in loss of life on several occasions.
- Political activism resulting from environmental pollution and foreign ownership for example the Ken Sarowira saga.
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