PDP Steals N100 On Kerosene Price – Oshiomhole

keroseneEdo State Governor, Adams Oshiomhole, has accused the Peoples Democratic Party (PDP) led Federal Government of defrauding Nigerians of kerosene price as N150 per litre, instead of N50.

Oshiomhole said this in Benin while addressing defectors from the opposition party, PDP.

The Governor stated that the Federal Government had deprived the masses of enjoying the benefits of the natural resources bestowed on the country by God through shady subsidies on crude oil.

This, he said, has been the case for 16 years since PDP assumed power.

Oshiomole added, “The man who has a shop must close by 6pm. If he operates beyond 6pm, he must put on a generator set and buy petrol or diesel.

“From Otuoke to Benin City, Lagos, Ekpoma, Iyahmo and Sokoto, kerosene is now between the price of N150 and N160 per litre. For every N150 you spend in buying kerosene, the PDP steals N100 because in the books of NNPC, they have it in record that kerosene is N50 per litre.”

The State Governor commended the quality of the defectors whom he described as knowledgeable.

He further said, “Today is not just the fact of the huge number in this hall but it is also about the quality of the brains that have now joined us.

“In a world that is knowledge-driven, it is only the party that can parade the best brains that can drive the sustainable change that Nigeria is currently battling with in order to bail our country from its present political quagmire.”

Niger Police Appeal To Herdsmen And Farmers Over Crisis

policeWorried by the incessant clash between herdsmen and farmers in the Northern region, the Niger State Police Commissioner of Police, has appealed to farmers and herdsmen to live in peace.

During the meeting on Thursday, the Niger State Commissioner of Police, Deseye Nsirim, said that the meeting was called because of the recent clashes between the farmers and herdsmen in Paikoro town.

She appealed to both the farmers and the herdsmen to endeavor to live in peace and report immediately any disagreement to the Police.

The clash between Gwari farmers and Fulani herdsmen in Paiko, near Gwagwalada in Abuja on Thursday, June 5, resulted in the killings of four persons, 19 others injured and four houses burnt in the fight.

The farmers and herdsmen conflict which for decades has claimed thousands of lives and had destroyed crops and livestock worth Billions Naira have served as a constraint to the appropriate use of land and water resources.

Nsirim, also spoke about the command’s determination to eradicate pipeline vandalism in the state.

Worsening Cases Of Oil Theft Put Nigeria’s Economy In More Jeopardy – ACN

The Action Congress of Nigeria (ACN) has warned that the rising cases of crude oil theft and pipeline vandalism in the Niger Delta will definitely worsen the country’s economic woes, when placed side by side with other problems besetting the country’s troubled oil sector, unless the Federal Government acts decisively to stop the criminal act.

In a statement issued in Lagos on Sunday by its National Publicity Secretary, Lai Mohammed, the party said oil theft and pipeline vandalism, the cost of which has been put between 6 and 12 billion US dollars per annum, have now reverted to the pre-amnesty period, when oil theft peaked at about 350,000 barrels of per day – higher than the quantity of oil produced daily by Gabon or Equatorial Guinea.

”On Feb. 24th 2013, we raised the alarm that the country’s economy was heading for the rocks, citing the skyrocketing cost of oil production, from 4 dollars per barrel in 2002 to 35 dollars per barrel presently; the massive corruption in the oil sector; the sharp fall in the discovery of new oil and gas reserves due to the low investment in the sector, and the challenge posed by alternative sources of global supply of oil and gas.

”For raising that alarm, we were pilloried by those who acted more out of emotion than facts. Today, we say the situation is actually worse than we had thought, exacerbated by pipeline vandalism and crude oil theft which have reached an unsustainable level. Add this to the resurgence of attacks by the Movement for the Emancipation of the Niger Delta (MEND), and we are compelled to cry out again,” it said.

ACN said the action taken in recent times by two major oil companies, Shell Petroleum Development Company (SPDC) and Nigerian Agip Oil Company (NAOC), is the clearest indication yet of the seriousness of the situation.

”In March 2013, SPDC announced that it will shut down the 150,000bpd Nembe Creek oil pipeline this April due to the urgent need to clear away illegal connections meant to facilitate the theft of crude oil from the pipeline. Also in March, NAOC declared a force majeure regarding crude oil liftings at the Brass terminal and suspended its activities in Bayelsa State, following the intensification of illegal bunkering activities and the vandalisation of the 10” Kwale-Akri-Nembe-Brass oil delivery line.

”The shutdown of these two key oil delivery trunk lines by SPDC and NAOC has cut nearly 300,000 barrels per day from already dwindling Nigeria’s oil output, now put at 2.2 million barrels per day, down from 2.75 million barrels per day a year ago, resulting from increased, organised and sophisticated illegal bunkering of oil by criminals operating in the creeks of the Niger Delta.

”To worsen matters, it has been alleged that some bad eggs in the military Joint Task Force (JTF) deployed to the region to protect oil personnel and facilities have been accused of complicity in the illegal bunkering activities. This is why the Federal Government must quickly engage key stakeholders in a dialogue with a view to finding ways to stop the criminal act before it cripples the economy and brings Nigeria down to its knees,” the party said.

ACN said it is particularly worrisome that the relative peace witnessed in the Niger Delta following the amnesty programme for oil militants seems to have waned, going by available statistics: A total of 350,000 barrels per day was lost to illegal bunkering in the Niger Delta in 2012, representing an increase of 45% over the figure for 2011 and 67% over that of 2010. It added that the trend for 2013 is alarming.

”We are particularly concerned that the Nembe Creek axis seems to have been the worst hit by the criminal act, despite being the operating base of a key former militant who has cornered a lucrative Federal Government contract to protect Nigeria’s coastline from the same bunkering activities that are now getting out of control,” the party said.

It said that without prejudice to whatever solutions that key stakeholders may proffer to the criminal act of pipeline vandalism and oil theft, it is important for the security agencies operating in the Niger Delta to ginger up their efforts to safeguard lives and property in the Niger Delta; and the government must recommit itself to enhancing security of investment in the region, while at the same time tackling headlong the grinding poverty in the oil region.

Pipeline Vandalization Will Soon Be History — Haruna

 The Managing Director of the Pipelines and Products Marketing Company, Mr Haruna Momoh has given assurance that the agency is set to bring to an end the incessant vandalism of NNPC pipeline at Arepo, Ogun state.

Speaking today on our breakfast programme, Sunrise, Mr Momoh disclosed that currently security agents are on ground manning the facility, and a lasting solution to the problem of vandalism will be found in three months’ time.

Watch interview for more details.

Nigeria Seeks Britain’s Help To Tackle Oil Crime Network

Nigeria has asked Britain for help to tackle a multi-million dollar oil theft business which is run by international crime syndicates, the Minister of Petroleum Resources; Diezani Alison-Madueke told an industry conference in Abuja on Tuesday.

According to the Minister, “the products from bunkering are not sold in (West Africa), neither are the financial outputs … laundered in West African banks, they are ending up in far flung international fiscal institutions.”

She further added that “Mr President has begun to reach out with his colleagues around the world. A discussion was held with the Prime Minister of Great Britain on Monday a week ago and they are all coming on board to help sort out this particular menace.”

Oil ‘bunkering’ — hacking into pipelines to steal crude then refining it or selling it abroad — is costing Nigeria a fifth of its two million barrels per day output, government and international oil companies say.

Anglo-Dutch oil major Royal Dutch Shell, the biggest foreign producer in Nigeria, has been lobbying the British government to help Nigeria to end bunkering, industry sources say.

Yet the participation of security officials and politicians who profit from the practice may limit the impact international governments can have on ending the illegal industry.

FG to create task force on crude oil theft

The Chief of Defence Staff, Air Marshall Oluseyi Petinrin, on Friday said that the Federal Government has approved the constitution of a task force to curb crude oil theft in Nigeria.

The Air Marshall disclosed this while addressing journalists during a stakeholders’ meeting on security in the oil and gas industry in Lagos.

He said that the responsibility of the task force will be to halt the incessant oil theft in the country and that most senior army personnel and other security agencies would be included in the team to bring sanity.

“I quite agree with the collective decision of the stakeholders on ways to address oil theft in the country.

“All the security agencies will ensure adequate monitoring of the country’s oil thefts to logical conclusion,” Petinrin said.

Diezani Alison-Madueke, the Minister of Petroleum Resources, said that over 180 million barrels of crude oil were lost on daily basis in the country.

Translating the 180 million barrels into monetary terms the Managing Director of Shell, Mutiu Sunmonu had on Thursday during a meeting with the executive secretary of the Nigeria Extractive Industries Transparency Initiative (NEITI), Zainab Ahmed in Abuja said Nigeria loses $5billion yearly to crude oil theft.

Mrs Allison-Madueke said the new task force would include both indigenous and international oil chiefs.

The minister said that it had been observed that in the last six months, the number of oil theft on Nigerian water was high.

“This crude oil theft affects both our environment and economic values in Nigeria,’’ she said.

Shell shuts down major pipeline in Nigeria over theft

Royal Dutch Shell has declared force majeure on its Nigerian Bonny Light crude oil loadings with effect Friday and 60,000 barrels per day of output is affected.

“The action is due to production deferment caused by incessant crude theft and illegal bunkering on Nembe Creek Trunkline,” an emailed Shell statement said.

Oil thieves may soon run Nigeria – NNPC

The Group Managing Director (GMD) of the NNPC, Austen Oniwon
The Nigerian National Petroleum Corporation (NNPC) on Wednesday said that both its upstream and downstream operation is under threat due to the activities of “oil pipeline marauders.”

This was disclosed by the Group Managing Director (GMD) of the Corporation, Austen Oniwon at meeting between the management of the NNPC and the Board and Commissioners of the Revenue Mobilization Allocation and Fiscal Commission (RMAFC) in Abuja.

Mr Oniwon said that pipeline vandalism presents the single biggest threat to the smooth operation of the petroleum industry in Nigeria. He said if left unchecked Nigeria will wake up one day to discover that pipeline thieves have taken over the country.

“In the last few months we have lost millions of dollars in shut-in oil wells as a result of the activities of oil thieves who breach our crude lines to steal oil. So far the Trans-Forcados and the Trans-Niger Trunk lines have been shut-in due to attack on the facilities by thieves,’’ the GMD said.

Mr Oniwon said that the activities of the oil thieves is also a menace to the downstream sector where increased vandalisation of petroleum product pipelines has made it almost impossible to pump products to the depots across the country through the pipelines thereby depending on bridging with trucks.

“Let us take this menace a bit further by looking at the danger it poses to our collective existence as a nation. If we fail to curb this trend we are inadvertently empowering these criminals to take over our Local Government Areas and by the time they do that they would move on to take charge of the states since they now have the resources to decide who get to power and one day we may as well wake up to discover that they have taken over the entire country,’’ he said.

He warned that the situation, if not checked could degenerate to the scenario in countries like Mexico and Colombia where criminals have empowered themselves through nefarious activities and now call the shots because they have stolen so much from the system through under world operations.
“These criminals steal both crude and refined petroleum products and sell same to enrich their pockets, we must work collectively to stop them,’’ he said.

According to data from the NNPC, a total of 16,083 pipeline breaks were recorded between 2000 and 2010. Of the lot, 398 pipeline breaks (2.4 per cent) were as a result of ruptures. Pipeline vandals accounted for the remaining 15,685 breaks (97.5 per cent) of the total number of cases.