NNPC calculates losses from theft

Nigeria National Petroleum Corporation (NNPC) lost around USD 172 million in revenue due to oil theft in 2015, newly appointed managing director Maikanti Baru said on Thursday, noting there had been more than 3,000 acts of pipeline vandalism.

Speaking in Abuja on Thursday, Baru reported that pipeline attacks in 2015 had resulted in the loss of more than 643 million litres of petrol. The tally for 2016, measured from January to May, is 109 million litres, while pipeline losses for crude intended for refineries stood at 560,000 barrels. According to Baru, more than 1,440 pipeline attacks had been recorded during the mentioned period.

Vandalism in Nigeria has also impacted the volume of natural gas available for power generation, which is down by almost 50% to reach 19.8 mcm (700 mcf), resulting in losses of between 2.5 and 3 GW.

In other news, local media on Friday reported that the force majeure on the Qua Iboe crude stream will remain in effect for at least four weeks. A “system anomaly” discovered during a routine check prompted ExxonMobil’s Nigerian subsidiary, Mobil Producing Nigeria, to declare force majeure on Qua Iboe crude exports last week. While the company has yet to comment, the decision was likely prompted by a pipeline leak, which is currently being repaired.