TheCable

The Nigeria Extractive Industries Transparency Initiative (NEITI) says the country lost 619.7 million barrels of crude oil valued at N16.25 trillion ($46.16 billion) from 2009 to 2020.

NEITI made this known in a statement signed by Obiageli Onuorah, the organisation’s head, communications and advocacy, in Abuja on Wednesday.

The agency also welcomed the decision of the federal government to set up a special investigative panel on oil theft and losses in Nigeria.

According to the organisation, the losses were from theft and sabotage, based on information and data provided by an average of eight companies covered by NEITI’s process over the years.

A breakdown of the losses, it said, showed that in 2009 when NEITI commenced reporting of crude oil theft, Nigeria lost 69.49 million barrels valued at $4.31 billion.

It added that the figures for 2010, 2011 and 2012 revealed that 28.31 million, 38.61 million and 51.58 million barrels, worth $2.29 billion, $4.39 billion and $5.82 billion were lost, respectively.

According to NEITI, its oil and gas reports also showed that the losses to crude oil theft did not decline as 78.30 million barrels of oil, valued at $8.55 billion was lost in 2013 alone.

In 2014 and 2015, NEITI noted that Nigeria witnessed losses of up to 67.29 million barrels valued at $5.57 billion, while in 2016, the country recorded the highest losses of 101.05 million barrels, culminating in $4.42 billion.

More so, the reports indicated losses of 36.46 million barrels of oil ($1.99 billion) in 2017; 53.28 million ($3.837 billion) in 2018; 42.248 million barrels ($2.772 billion) in 2019; and 53.056 million barrels ($2.21 billion) in 2020.

“The combined value of these losses is 619.7 million barrels amounting to $46.16 billion over a 12-year period,” NEITI said.

On the setting up of a panel, it described the decision as bold, courageous and timely, given the “havoc” theft has wrecked in oil production and the country’s revenue generation capacity.

NEITI said it was regrettable that at a time Nigeria’s economy is largely dependent on oil revenues, some Nigerians would choose to collude with foreign nationals to steal and sabotage the main sources of revenue for the federation.

However, the agency expressed delight over the new collaboration between offices of the secretary to the government of the federation and that of the national security adviser (NSA) in coordinating the investigations and its wisdom to appoint NEITI in the special panel.

It said it would seek technical support where necessary from 57 member countries of the global Extractive Industries Transparency Initiative (EITI) to help tackle the international dimension of oil theft in the work of the investigative panel.

NEITI noted that the it found the terms of reference of the panel to be comprehensive, incisive, and attainable; assuring that in working with other members of the panel, it would rely more on its multi-stakeholders to support the work of the committee.