NNPC Reveals $7.2 Million Monthly Loss from Illegal Crude Oil Connections in Nigeria.

NNPC Reveals $7.2 Million Monthly Loss from Illegal Crude Oil Connections in Nigeria.

The Nigerian National Petroleum Company Limited (NNPCL) has disclosed that the nation is grappling with a monthly loss of $7.2 million due to illegal oil connections. This revelation follows the recent unearthing of an illicit connection in the Owaza community of Abia state.

The discovery occurred over the weekend and was made by a delegation appointed by President Bola Tinubu to assess the situation of oil theft in the Niger Delta. The team, headed by Muhammed Badaru, the Minister of Defence, visited the Trans-Niger Pipeline Right of Way in Owaza, Abia, where numerous dismantled illegal connections were found.

Among the delegation were prominent figures including Heineken Lokpobiri, Minister of State for Petroleum Resources (oil); Ekperipe Ekpo, Minister of State for Petroleum Resources (gas); Nuhu Ribadu, National Security Adviser; and Mele Kyari, Group Chief Executive Officer of NNPC Limited. Also present were Olusegun Ferreira, Commander of Operation Delta Safe, various security agency operatives, and CEOs of regulatory agencies within the oil and gas sector.

Kyari, while at the scene, emphasized the profound economic repercussions stemming from clandestine refineries, illegal bunkering operations, and resulting environmental devastation. He highlighted that these activities collectively contribute to significant economic losses for the country, and underscored the importance of oil-bearing communities' involvement in combating such criminal acts within their regions.

In concurrence, Badaru expressed commitment to ensuring peace in the Niger Delta and urged an end to crude oil theft and economic sabotage. Ribadu praised security agencies, community security contractors, and NNPC for their concerted efforts in combating oil theft and economic sabotage. He noted that the continuous destruction of the environment and livelihoods, coupled with the resultant deprivation of revenue for the federation, underscores the urgency of the situation.

The pervasive issue of oil theft has also impacted Nigeria's ability to fulfill its OPEC daily production quota, further underscoring its significance in the country's economic landscape.