Home News Nigeria’s Ongoing Battle Against Crude Oil Theft: 4,145 Cases Reported Since May 2023

Nigeria’s Ongoing Battle Against Crude Oil Theft: 4,145 Cases Reported Since May 2023

by Harry Choms
crude oil theft

A disturbing revelation has come to light through a review of crude oil theft incident reports provided by the Nigerian National Petroleum Company Limited (NNPCL) between May and the second week of October 2023. A total of 4,145 recorded crude oil theft incidents have been documented during this period, underscoring the severity of the issue.

Escalating Problem

The issue of crude oil theft has escalated significantly. In the NNPCL’s “Energy and You” series, it was reported that 3,444 crude oil theft incidents occurred between January and April 2023. Starting from Episode 8 of the series in May 2023, weekly reports on crude oil theft incidents have been shared. The summation of these reports reveals that a shocking 4,145 crude oil theft incidents occurred between May and the second week of October 2023.

Notable Hotspots

Crude oil theft remains particularly rampant in the Niger Delta region. Some of the more active hotspots include Ohaji-Egbema and Oguta (Imo), Ogbia and Imiringi (Bayelsa), Obodo-Omadino and Ughelli (Delta), Egorobiri Creek, Gokana, Iba community, Emuoha, Rumuji, and Degema (Rivers).

Urgent Need for a Coordinated Response

Addressing this significant challenge necessitates an immediate and comprehensive response. Collaboration between all tiers of government and various security agencies across the nation is required. The scale and impact of these incidents demand a coordinated effort to effectively combat this problem and safeguard Nigeria’s valuable oil resources.

Impact on Oil Production

Crude oil theft has been a persistent issue in Nigeria, eroding the country’s revenues. Nigeria’s National Security Adviser, Nuhu Ribadu, revealed that the country is losing 400,000 barrels of oil per day to crude oil thieves. Nigeria has the potential to produce 2 million barrels of crude oil daily, but actual production falls short of this, standing at below 1.6 million barrels. This significant production gap is due to theft and pipeline vandalism, resulting in a daily loss of up to 400,000 barrels of valuable crude oil.

Complex Nature of Crude Oil Theft

The persistence of crude oil theft underscores deep-rooted issues of corruption and security vulnerabilities in Nigeria. Senator Ned Nwoko recently revealed that certain security officials, whose primary duty is to safeguard oil and gas assets, are complicit in this illicit trade, driven by the financial gains associated with illegal activities.

Crude oil theft is a multifaceted problem that involves various actors, from foreign oil traders, shippers, and bankers to high-ranking politicians and even military officials. At the grassroots level, young Nigerians living in the creeks are often involved in this illegal trade, driven by poverty and lack of opportunities.

Reasons Behind Community Silence

Communities in crude oil theft hotspots often remain silent for several reasons:

  1. Poverty: Some families in these areas benefit financially from illegal operations, which compels them to turn a blind eye to the situation as it provides a means of survival.
  2. Fear of Unjust Arrest: Some residents fear being wrongly apprehended as suspects in illegal activities if they report them to law enforcement.
  3. Lack of Prosecution: Suspects arrested for crude oil theft are frequently released due to the influence of political figures, discouraging community members from taking action.

Addressing these root causes of crude oil theft, including economic hardships and lack of opportunities, is crucial to effectively curb this pervasive issue.

The International Dimension

Crude oil theft in Nigeria operates on two distinct levels: the local and international scales. The latter has the potential to illegally tap into offshore oil assets and involves a network of international players, making it a complex transnational issue.

Networks involved in crude oil theft extend beyond Nigeria’s borders, including individuals from diverse backgrounds and countries such as Togo, Ghana, Lebanon, and India. International cooperation and efforts to dismantle these intricate networks are vital to combat this issue effectively.

The ongoing battle against crude oil theft in Nigeria is a multifaceted challenge that demands immediate attention and a comprehensive strategy to protect the country’s oil resources and revenue.

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