The Nigerian National Petroleum Company Limited (NNPC) says
it uncovered an illegal 4-kilometre (km) pipeline from Forcados terminal to the
sea, and a loading port that had operated undetected in the last nine years.
Mele Kyari, group chief executive officer (GCEO), NNPC
Limited, said this on Tuesday when he appeared before the senate joint
committees on petroleum (upstream and downstream), and gas.
He said the pipeline was found during a clampdown on theft
in the past six weeks.
“Oil theft in the country has been going on for over 22
years but the dimension and rate it assumed in recent times is unprecedented,”
Kyari said.
“The Brass, Forcados,
and the Bonny terminals, are all practically doing zero production today; the
combined effect is that you have lost 600,000 barrels per day when you do a
reality test.
“As a result of oil theft, Nigeria loses about 600,000
barrels per day, which is not healthy for the nation’s economy, and in
particular, the legal operators in the field, which had led to a close down of
some of their operational facilities.
“But in rising to the highly disturbing challenge, NNPCL has
in recent times in collaboration with relevant security agencies, clamped down
on the economic saboteurs.
“In the course of the
clamp down within the last six weeks, 395 illegal refineries have been
deactivated, 274 reservoirs destroyed, 1, 561 metal tanks destroyed, 49 trucks
seized and the most striking of all is the four-kilometre illegal oil
connection line from Forcados Terminal into the sea which had been in operation
undetected for nine solid years.”
Kyari said in efforts to address the menace, NNPCL carried
out aerial surveillance of the affected areas and saw economic saboteurs
carrying out their activities unchallenged.
According to him, the level of oil theft at hand, poses a
blend of both social and security problems.
“It is not only security but social as locals in most areas
where the illegal refiners operate, unknowingly serve as their employees by
mistaking them for operatives of licensed companies for oil exploration and
production in the area,” he said.
“It is not abnormal
to involve non-state actors for protection of oil pipelines and other critical
infrastructure as done in Cambodia and Mexico which produced desired results.”
After over four hours of interactive session, members of the
committees proposed that capital punishment be put in place for offenders,
which will be presented at plenary for consideration.
Meanwhile, Mohammed Sabo Nakudu, chairman of the joint
committee, told Kyari to prepare for oversight functions on Port Harcourt and
Warri refineries in order to verify claims of rehabilitation.
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