The Special Investigative Panel on Oil Theft/Losses in Nigeria report, submitted to the National Security Adviser (NSA), Maj-Gen. Babagana Monguno (rtd), on Monday, has attributed the cause of crude oil racketeering to lack of proper reporting of crude oil production, illegal refining, theft from wellheads and diversion from sophisticated pipelines network.
According to a statement signed by the Head, Strategic Communication, Office of the National Security Adviser (ONSA), Mr. Zakari Usman, yesterday, the panel engaged key stakeholders within and outside the oil and gas industry, including state governments; Ministries, Departments and Agencies (MDAs); security agencies; regulatory agencies; international and indigenous oil companies; traditional institutions; host communities and artisanal refiners.
The statement also noted that, in discharging the responsibility of the panel, it received and reviewed several memoranda and reports on oil theft and losses.
It reads: “During the assignment, the panel discovered several layers of involvement in the illegal theft of crude oil despite the best efforts of the Armed Forces and other security agencies to combat the activities of the oil thieves.
“The panel also observed that crude oil losses arose from a lack of proper reporting of crude oil production, illegal refining; theft from wellheads and diversion from sophisticated pipelines network.”
The panel attributed losses to the absence of a robust industry-wide metering system and an unworkable security arrangement. While submitting the report, chairman of the panel, Maj-Gen. Barry Ndiomu (rtd), called for quick implementation of the report and asserted that if the government implements the recommendations, oil theft/losses would be adequately addressed.
Receiving the report, Monguno thanked the panel for keeping to the timeline and for addressing the issues comprehensively. He assured that government would study the report and see to its immediate implementation, especially the recommendations with short-term perspectives.
The NSA had inaugurated the investigative panel on December 6, 2022, and was given 10 weeks to complete the assignment with extensive terms of reference to investigate all aspects of crude oil theft/losses in all its ramifications. The panel commenced work same day.
