According to Tantita Security Services Nigeria Limited, oil firms purchase refined automotive petrol oil, also known as diesel, from unlicensed refineries located in several host communities around the Niger Delta region. This was supposedly announced on Monday.
It made this announcement during the ongoing Nigeria Oil and Gas Energy Week Conference in Abuja, which was attended by both domestic and foreign oil and gas firms. The oil companies in attendance at the occasion did not dispute this.
With its main office located in Warri, Delta State, Tantita is a security firm that specialises in the oil and gas industry and provides security solutions made especially for these kinds of assets. The Nigerian National Petroleum Company Limited is now a client of the company that provides security services.
Speaking as a panellist at the session titled, “Exploring Nigerian Content Solutions to Meet Energy Demand,” the Executive Director, Operations and Technical, Tantita Security Services, Capt. Warredi Enisuoh said illegal refineries produce diesel in large volumes and their customers include many downstream operators.
He stated that the groups receive funding not only from smugglers but also from oil firms, emphasising that the spike in fuel prices was caused by Tantita and other security services’ raid on these facilities.
“Why is there no scarcity of diesel while there is scarcity of PMS (Premium Motor Spirit, popularly called petrol)? The story is simple, most of the diesel you buy is produced by the communities.
“About 90 per cent of the diesel in the fuel stations is produced by the communities. It will also interest you to know that even the oil companies patronise the local communities. Don’t let anybody deceive you, they (oil companies) also patronise the local communities,” he declared.
Enisuoh clarified that in terms of infrastructure, “we might need to focus more on the local communities” in order to supply Nigerian content solutions to meet energy demand.
He said that the illicit manufacture of diesel would keep rising if it weren’t for the actions of security organisations like his company.
“The reason why the price of diesel is high today is because of the works of private security companies like my company Tantita Security Services.
“This is because we have been able to somehow cut down on a lot of the businesses of the illegal refineries. This is why you see the cost of diesel going up,” he stated.