Despite ongoing efforts to combat crude oil theft, Nigeria is still losing around 400,000 barrels of crude oil daily to both local and international thieves, according to Malam Nuhu Ribadu, the National Security Adviser. This revelation came during an inspection of oil and gas facilities in Abia and Rivers states by a presidential delegation led by Ribadu. The theft of oil has negatively impacted the country’s economy and contributed to the rising cost of living.
Ribadu highlighted that Nigeria has the capacity to produce 2 million barrels of crude oil daily but is currently producing less than 1.6 million barrels due to theft and pipeline vandalism. This translates to a loss of approximately $4 million daily, or billions of dollars annually. The stolen oil is not only causing financial losses but also environmental damage as larger volumes of oil are spilled during theft incidents.
He emphasized the need for a united effort to tackle oil theft, with President Bola Tinubu’s administration taking steps to address the issue. Ribadu also stressed that these criminal activities are not only undermining the economy but also destroying critical infrastructure and harming the environment. The government is working with security forces and the Nigerian National Petroleum Company Limited to secure facilities and put an end to oil theft.
The loss of revenue from oil theft presents a significant challenge for Nigeria, impacting its economy, currency value, and overall stability.
Published by: MarketNewsNG