Oil and gas (O&G) exploration and production (E&P) nowadays need immediate thought of a range of economic, social, political, and environmental concerns. As energy requires keep on growing, O&G companies should locate and produce growing quantities of oil and gas. Although doing so require more than merely ramping up production from traditional sources, to carry out good marketing strategy analysis and research you would need one of the marketing tools which is PEST model in accessing the oil and gas environment and have an overview and understanding market growth or decline, business position, potential and direction for operations

Competition in the oil and gas industry in Nigeria is very intense and competitive over the year there has been lots of international company lobbing to be able to export crude for refining and bring in back to the country but that has proved impossible as the NNPC is run and controlled by the Nigerian government and it accounts for about 70 % of the government revenue and 40% of the country revenue the threat is minimum but there is much pressure on them as they lose a lot in export crude and they determine the price, which most oil and gas companies in Nigeria are trying to change that the government give other respected company license to export crude for refining and bring in back to the country for sale cause only few player can only bring in refined crude and are subject to quantity and cannot export crude. In recent times competition in the global oil and gas industry has been increasing rapidly due to globalisation. Mergers and acquisitions between major players have been taking place with a view to improving their competitive edge and strengthening their position in this industry

Political factors

Political issue has always been an issue in the oil rich state in Nigeria, there has been political instability in the oil rich region where the fuel is being extracted, as the government officials are corrupt and refuses to develop and enforce strict system that works in cleaning up of the oil spillage, this had bring up unrest in the region as the youth in the area has picked on arms and militancy kidnapping for ransom blowing up of oil pipe line and engage in oil bunkeries, this has affected oil production and transportation and has much effect on NNPC as is crude and oil production has gone to a record low. The political unrest needs to be addressed if the government wants smooth flow of oil and peace in the region.