N965bn lost annually to oil theft in Nigeria according to Shell
The Shell Petroleum Development Company has raised the alarm that Nigeria loses $6.1bn (N965bn) annually to oil theft.
It warned that the negative impact of pipeline vandalisation, oil theft and illegal refineries could affect Nigeria’s economy and environment.
The company’s Manager, Government, Community Relations, Mr. Krukrubo Evans; General Manager, Nigeria Content Development, Mr. Igo Weli and Head, Oil Spill Response, Mr. Pat Agbo, spoke in Yenagoa, Bayelsa State, on Friday.
Evans who was represented by Mr. Funkakpo Fufyin, decried that activities of oil thieves had forced the SPDC to close oil production in its Nembe Creek Trunk Line in the state. He said the shutdown of the facility had led to the loss of 150,000 barrels of oil per day, adding that the development had reduced the revenue accruing to the derivation account.
Prior to the shutdown, he said the SPDC discovered over 90 different punctured points on the 90km pipeline, adding that the company had commenced repairs of the trunk line.
“Our biggest worries are crude oil theft and illegal refineries. They are bringing down the economy. Nigeria loses 150,000 barrels per day amounting to $6.1bn annually to oil theft.
“Illegal refineries are destroying our environment. We are pushing and talking to the government and other stakeholders to do something about it. These crude theft and illegal refineries have to stop,” he said.