Energy

Crude oil Theft – Nigeria.

on


Crude oil Theft – Nigeria.

Crude oil theft in Nigeria involves the active participation of personnel from the Nigerian National Petroleum Corporation (NNPC), oil industry personnel, politicians, military officers, Joint Military Task Force (JTF) personnel, militants, oil traders and organized crime gangs. The main motive is enormous financial gains.

At the top of the chain, is theft organized from within the NNPC, which involves the programming of Vessels for onward supply to a European port. Most of these vessels are then sold in transit, with the vessel and its cargo handed over to a buyer in a Tanker TakeOver (TTO) process.

The prominent actors at this level include Top NNPC officials, Terminal Engineers, Loaders and Vessel Programming Personnel. Most times these cargoes are sold to legitimate commodity traders for onward sale directly to refineries globally.

Below the vessel Programming rackets, is outright theft from terminals and pipelines, using several sophisticated equipment’s with the connivance of NNPC staff, Oil company personnel, terminal workers, Nigerian and International crude oil traders, JTF and criminal gangs.

In most of these operations, the JTF provides security at the crude oil terminals or source of theft in the case of pipeline breach. Operations are also guarded by highly armed youths, with a lot of money spread around.

Main source of technology for breaching pipelines without stopping flow involves sophisticated foreign technology. However, the locals and militants have acquired lower grade local expertise for crude oil theft via pipeline breach.

The process of obtaining crude from pipelines without stopping the flow of the liquid is called hot tapping

Crude oil theft in the Niger Delta on the local level is the main source of acquiring arms via the batter of crude with arms. A very large portion of this specific level of operation, provides the crude oil feedstock that supplies local illegal refineries. The operations of illegal refineries present a devastating effect on the Niger Delta environment

Areal view copy resized

CLICK IMAGE FOR PHOTO GALLERY | AREAL VIEW OF A REFINING OUTPOST

illegal refining in the creeks of the Niger Delta in Nigeria imposes on the region and the nation environmental peril of untold magnitude that is unknown to the major players in this illegal industrial setting. The actors justify what they do as a technological feat that requires government assistance.

This report provides insight and raises pertinent questions on oil theft and its effect in the Niger Delta:

  • An environment and people at the throes of death
  • The challenge of local communities and the JTF
  • Reconsidering policy options of petroleum refining in Nigeria
  • Do we have a stake in the advocacy?
  • Effective policies and actions to curb the scourge of oil theft

Volume 1 of this report looks at the illegal refining of stolen crude in the creeks of the Niger Delta and the environmental peril it imposes on the region. The report is a graphic presentation in picture gallery format with descriptions; all pictures were obtained on-site. Click Image above for gallery or HERE

Volume 2 & 3  would provide further details on the high-level operations and networks involved in crude oil theft going up the chain.

 

 

Report by

 

TIMIPRE WILLIS AMAH

NIGER DELTA UNIVERSITY

WILBERFORCE ISLAND

AND

PROF. FRANK UGIOMOH

UNIVERSITY OF PORT HARCOURT

 

Contribution by PanAtlantic Journal

Comments

comments

Leave a Reply