Mele Kyari, the Group Chief Executive Officer of the Nigerian National Petroleum Company Limited (NNPCL), has disclosed shocking statistics regarding oil pipeline infractions, highlighting the extensive challenges faced by the oil industry in Nigeria.
During an oversight function at the NNPCL headquarters in Abuja, Kyari informed the House of Representatives Special Committee on Oil Theft that the company recorded 9,000 infractions on oil pipelines within one year.
Kyari provided further insight into the scale of the problem, revealing that from 2022 to the present, NNPCL has deactivated 6,465 illegal refineries and removed 4,876 illegal connections to pipelines out of 5,570 discovered.
He emphasized the alarming frequency with which these infractions occur, noting that even after one connection is removed, it is promptly replaced, demonstrating the widespread involvement in crude oil theft across the country.
The CEO expressed concern over the proximity of the illegal activities to settlements and local government headquarters.
He underscored the critical role of security in addressing the menace of pipeline vandals and emphasized the need for a comprehensive approach involving all relevant security agencies and private security firms.
Kyari emphasized the detrimental impact of crude oil theft on Nigeria’s oil production capacity, citing a decline from a potential of over two million barrels per day to struggling to meet a budget estimate of 1.6 million barrels per day.
He attributed the decline directly to crude oil theft, emphasizing its role as a significant hindrance to investment and production in the sector.
On his part, Hon. Alhassan Ado-Doguwa, Chairman of the Special Committee, acknowledged the immense challenges posed by operating oil and gas pipelines in Nigeria.
He expressed concern over the lack of transparency in regulatory activities at crude oil export terminals and highlighted instances of official complicity in crude oil theft.
Ado-Doguwa stressed the urgent need for concerted efforts to address these infractions and safeguard Nigeria’s valuable oil resources.
