Oil theft: Govt’s approach must be redefined to tackle economic losses
Oil theft has remained an albatross to the oil sector in Nigeria. Its effects have had far reaching impacts stretching with macro defects on the economy. It has remained a sapping of resources illegitimately into private pockets against general interest. As much as the government may have set up campaigns to clamp down on the illegal operations of oil theft across the Country, it is more resounding that the activities of theft of oil resources at different levels of the chains of operations in the sector have remained troubling.
Recently, the Nigerian Navy (NN) said the troops of Operation Delta Sanity intercepted 4,036.7 barrels of crude oil and 270,600 litres of illegally refined AGO, valued at N1.05 billion, from oil thieves in one week. According to the Director of Naval Information, Rear Adm. Adedotun Ayo-Vaughan, the operations conducted by the Navy between Jan. 29 and Feb. 4. also led to the deactivation of 40 wooden boats, 55 illegal refining ovens, 49 reservoirs, 27 dugout pits, and 19 illegal refining sites.
According to him, the various NN platforms deployed for the operation have continued to conduct aggressive patrols to combat oil theft within Nigeria’s maritime environment. The navy spokesman said the Navy Ship (NNS) PATHFINDER, in conjunction with three Naval Security Stations, on Jan. 29 conducted reconnaissance operations around Elem Krakrama Creek and Ke in Degema Local Government Area of Rivers. He said the team intercepted six wooden boats laden with about 600 litres of suspected stolen AGO and 566 barrels of suspected stolen crude oil.
He had also disclosed that the Forward Operating Base (FOB) Formoso, on the same day, conducted operations around Brass River, Akassa, and Obama in Ogbia Local Government Area of Bayelsa, as well as Nembe and Southern Ijaw.
“During the operations, the team discovered four illegal refining sites, five ovens, and two pumping machines. They also arrested five wooden boats laden with about 704.4 barrels (112,000 litres) of products suspected to be stolen crude oil and the sites and items were dismantled while the products were handled appropriately. Also, on Jan. 29, FOB Escravos in Delta conducted anti-crude oil theft operations around Saghara Creek in Warri South Local Government Area.
“During the operation, the team visited a previously deactivated illegal refining site that was observed to be under reconstruction and had one empty reservoir and five dug-out pits,” he had said.
Ayo-Vaughan also said the NNS SOROH in Bayelsa, in conjunction with Naval Station 030 and Ocean Marine Solution Houseboat Peremebiri, also conducted operations around Ogbotobo and Fish Camp Community in the Atala area of Bayelsa between January 29 and February 2. He said the team discovered a vandalised flowline station belonging to Shell Petroleum Development Company that was recently reactivated. According to him, on Jan. 30, Naval Base Oguta in Imo conducted an operation and discovered one fibre boat laden with about 7.5 barrels (1,200 litres) of product suspected to be stolen crude oil.
He said, “Furthermore, from Jan. 30 to Feb. 2, Naval Flying Unit, Port Harcourt, conducted aerial surveillance at Abonnema, Temakiri, Aiya Abissa, Ke, Krakrama Tuma, Samkiri, Ukwa West, Ikwuriator, Imo River, and Aba River. During surveillance, the team sighted various illegal refining sites and wooden boats laden with an unspecified quantity of illegally refined AGO in numerous numbers suspected to have been syphoned from a nearby wellhead. Accordingly, the incident was reported to relevant units for appropriate action.”
This has shown the activities of oil theft operations in the country remain a pronounced illegality in the oil sector and a source of concern.
Also recently, a former Commandant of the Navy War College, Rear Admiral Murtala Bashir (Rtd.), had said the Nigerian Navy’s onslaught against oil thieves saved the nation 91,725.26 barrels of crude in 2023. In a paper titled “Operational Level Warfare: Imperatives for Training and Command in the Nigerian Navy,” which he presented at the inauguration of the Naval Warfare Course 8 in Calabar recently, Bashir said that this was against 889,890 barrels that were saved from thieves between January and December 2022.
According to Bashir, the economic saboteurs were also denied 513,350 litres of kerosene in 2023 alone. He had further noted that 351 illegal refining sites, 630 storage tanks, and 315 wooden boats were deactivated within the same period. Bashir had said that 78 suspects, 35 vessels, and 13 trucks were arrested between January and December 2023.
In October 26, 2023, the Nigerian Navy arrested eight oil thieves in a wooden boat with over 300 drums and pumping machines with which they planned to store stolen crude oil. On December 7, the Nigerian Navy said its personnel arrested a 77-metre-long Motor Tanker Vinnalaris 1 Lagos. According to the service, the vessel had 17 crew members onboard at the time of arrest, adding that it was caught engaging in illegal siphoning of crude oil from one of the well heads at EBESAN oil field about seven nautical miles off the coast of Awoye riverine community in Ilaje Local Government Area of Ondo State. While the clampdown on oil thieves is a commendable effort, it is important to state that the approach needed to reduce the activities of oil thieves to the barest level should be more elaborate in scope.
It is important to invest more in intelligence with stronger collaboration among security stakeholders. This is important for coordination and sustained operations in their respective areas of responsibilities without unnecessary overlaps.
The optimisation of the operational level of Warfare Training for security services to produce more professional officers that would adequately translate strategic directives into precise tactical actions, remains important. The need for security and military officers to be apolitical and more responsive to national security priorities of protecting the nation’s resources is a necessity.
While these actions are important steps, it is however more pertinent that the government redefine its approach to address the factors that constitute the root causes informing the seemingly unending theft of oil resources in the face of military clampdown. Addressing such problems remains sacrosanct at this time when the Country is suffering from economic hardship, which partly have been worsened with dwindling resources. The shortages in oil production linked to theft and other associated wastage, are resources which if harnessed, speaks volume to the benefit of the masses against serving selfish interests of a small opportunist cartel.