Nigeria lost $750 million to crude oil theft in 2019 – NNPC

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The Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), Mele Kyari, said Nigeria lost about $750 million to crude oil theft in 2019. According to him, the operations of the NNPC had been under threat from oil thieves and pirates.

Attacks weaken Nigeria’s economy: Kyari explained that the continued attack on the operation of NNPC is detrimental to Nigeria’s economy. The oil sector contributes 10% to the Gross Domestic Product, generating over 90% of the nation’s revenue.

Speaking about the oil theft at the Executive Intelligence Management Course 13 of the National Institute for Security Studies, Kyari said other security threats include vandalism of oil and gas infrastructure and kidnapping of personnel.

Kyari said these attacks were linked to what was happening in the entire maritime environment, including the Gulf of Guinea, which the NNPC Chief Operating Officer, Downstream, Yemi Adetunji, said accounted for more than half of the global kidnappings for ransom in 2016, with 34 seafarers kidnapped out of 62 cases worldwide.

Collaborative effort to fight attacks: He said the corporation is an economy-driver, so an attack on it would affect Nigeria’s survival. Kyari disclosed that efforts were being taken, in collaboration with security agencies, to curb the insecurity and secure oil and gas operations for the economic survival of the country.

Kyari explained that crude oil would still be relevant despite the demand for energy migration in Western countries. According to him, in the next 50 years, the demand for crude oil would not reduce.

“Even by 2050, fossil fuel would account for 80 per cent of the energy mix, and there would still be consumption of at least 100 million barrels of oil per day. We are determined to remain relevant in the long term.

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