Nigeria is losing $5 billion annually to oil bunkering in the Niger Delta region, according to its managing director of SPDC ,Mutiu Sunmonu .

alj harem: Apparently Nigerians would prefer Shell etc to Onada, capital oil etc. Why are Nigerians now complaining.

If you cannot support indigenous companies and always think foreign companies are better then so be it.

alj harem: A Nigerian refinery from a Nigerian oil company would take us out of this quagmare.

1. It would provide Jobs for Niger-delta people thus reducing militancy

2. It would provide an avenue for us to prosecute our citizens that fail to see the suffering of her people.

3. reduce oil bunker.

Toaskarity: Summarize - bigger thief chasing smaller thief.

texazzpete:


Can you tell me how a Nigerian refinery would reduce oil bunkering?

alj harem:

first of all, we have to ask ourselves why oil bunkering occur in the shores of Nigeria (Thus small scale)

Lack of employment and poverty which translate to desperation to find a means of livelihood.

Now what is the solution.

1. try to employ as much indigenous people as you can would greatly reduce this bunkering.
How do we achieve that ? By creating jobs

Jobs in the oil field are created by exploration of oil or refining. either one would do.

Although this is a simplistic solution.

Abagworo: The Shell Petroleum Development Company of Nigeria Ltd (SPDC) declared force majeure on outstanding cargoes of Bonny Light with effect from noon (Nigerian time) Friday 4th May 2012. The action is due to production deferment caused by incessant crude theft and illegal bunkering on Nembe Creek Trunkline (NCTL).

Shutdown of the line for repairs will result in a deferment of some 60,000bbls per day of production. SPDC is working hard to repair the line and resume production as quickly as possible.

The joint venture would be losing $6.3million on the average while the country would be loses 55 per cent of the amount.

Nigeria is losing $5 billion annually to oil bunkering in the Niger Delta region, according to its managing director of SPDC ,Mutiu Sunmonu .

He made the comments during a meeting in Abuja with the Nigerian Extractive Industries Transparency Initiative.

Crude oil theft, which is certainly not a new phenomenon in the nation’s system over time, is fast assuming a debilitating dimension and posing a real threat to the socio-economic well-being of Nigerians.

Besides instigating needless, massive environmental disasters in the immediate and remote areas in which their dastardly acts are perpetrated, these oil thieves, otherwise known as “bunkerers” in local parlance, have continued to pillage Nigeria’s commonwealth while inflicting much bleeding on the nation’s expected oil revenue on a daily basis. Unfortunately, Nigeria reportedly loses about N921bn to oil thievery annually, which is purely economic sabotage.

A recent aerial images showed by Shell showed illegal oil refineries in their hundreds doting the Niger Delta region. These are avenues where stolen crude oil being ferried across the waterways in barges, canoes and vessels is illegally refined locally.

In addition to losing millions of naira to these bunkerers daily, the rising homicidal smoke from these illegal oil refineries could cause serious health implications for the people living within the area of the illegal, home-built refineries. That is not to mention pollution and consequent destruction of arable land, fishing waters with natural aquatic splendour and outright fire outbreaks in the course of the widespread illegal bunkering activities in the region.

Specifically, crude oil theft and unprecedented upsurge in illegal bunkering and refining are said to have severely impacted rivers in Abia and Rivers states. Vice-President, Health Sector and Corporate Affairs, Tony Attah, was once quoted as saying that: “The scale of crude oil theft in the area was alarming. Aside from revenue loss to government and other stakeholders, significant portions of the stolen crude are spilled, blighting large swathes of the ecosystem.”

In spite of the reportedly successful amnesty granted to the militant Niger Delta youths, though with pockets of dissident voices still lurking in the trenches, the gains of the improved average of 2.4 million barrels of crude per day which the nation produces are being pooh-poohed by the harmful activities of the oil thieves.

http://www.businessdayonline.com/NG/index.php/news/76-hot-topic/37106-shell-declares-force-majeure-on-bonny-light-loadings

solomon111: Resource control!!!
We are tired of parasitic regions leaching off us!

DaLover: The solution is resource control,
The locals should actively participate in the production, selling, refining etc of their crude...

They will not stand aside and watch other steal it,
The FG should find a way to make it official,

DaLover:

Secondly we should stop exporting raw crude, I wonder why we are still doing this?

meka496: Barge urgently needed in Niger Delta for sale or leasing,capacity 2-3000 Mt please call me with price and details.

Chukwuemeka Kenneth Ebo

07065450840
08188846910
chukwuemekaebo@hotmail.com
chukwuemeka.ebo@gmail.com

Toaskarity: Summarize - bigger thief chasing smaller thief.

texazzpete:

That is not the sensible solution. Involving the locals will only add more avenues for theft and mismanagement.



i'm sorry but this is not an intelligent contribution. How will a country that cannot meet its own internal consumption capacity now start exporting refined crude?

otokx: The level of theft from oil pipelines is at an all time high making many overnight millionaires and it appears there is a complicity of security forces and villagers in that area. Federal Government as usual has simply abandoned its responsibility.

alj harem:

first of all, we have to ask ourselves why oil bunkering occur in the shores of Nigeria (Thus small scale)

Lack of employment and poverty which translate to desperation to find a means of livelihood.

Now what is the solution.

1. try to employ as much indigenous people as you can would greatly reduce this bunkering.
How do we achieve that ? By creating jobs

Jobs in the oil field are created by exploration of oil or refining. either one would do.

Although this is a simplistic solution.

jp philips:

i wish it is as easy as you think, bunkery has taken a new dimension in the delta, it has graduated to "kpo fire" where the crude is stolen and locally refined in the creeks and products sold at the water fronts.
in the SE and SS now, you can hardly see small refueling stations buying from importers cum major marketers.

the reason why that menace is thriving is because the military are compromised.
the boys pay as much as 40million naira to both Navy and army mondays and tuesdays every week, how do you think those sector 130 guys became so wealthy? military pension?

that is the problem, the boys settle, army is happy,Navy is smiling shell is wailing.

there is no excuse for criminality, unemployment the least, if the law enforcement agents have sincerity of purpose. i can remember in DEC last year when army got greedy and decided to be collecting 40million a week alone and the boys refused, Army nearly finished them off.

all the refineries were temporarily shut down for 3weeks before they reached a compromise.
brother it is the insincerity of purpose of the armed forces that is the problem