Oil Pipeline vandalisation continues in Nigeria
According to Nigeria Extractive Industries Transparency Initiative NEITI, crude oil theft and sabotage are some of the many challenges facing Nigeria’s oil sector. This was highlighted in the recent NEITI audit report (2009-2011). According to NEITI estimates, federation and oil companies lost a total of N1.737trillion ($10,992,776,474) during the three years under review.
The Nigerian government lost $7,518,050,277 during the period, it said N578.990 billion ($3,664,258,825) lost on annual basis, while N1.586billion ($10,039,065) was lost on a daily basis. According to the report, Cumulative pipeline losses due to pipeline vandalism and crude oil thefts are N134,126,921,724( $894,179,478). The report also said NNPC spent over $600 million on security during the reporting period, even though insecurity remains a major challenge to oil sector operations and is on the increase.
Read More: Crude oil theft