A Review of the Nigerian Energy Industry

NEITI: Nigeria’s $13.7bn 4yr oil loss contained in 3 IOCs’ records

barrels of crude oil.
barrels of crude oil.

03 August 2015, Abuja — The Nigeria Extractive Industries Transparency Initiative, NEITI, on Sunday said that the information with which it was able to identify in its audit report that Nigeria lost about 160 million barrels of crude oil valued at $13.7 billion to crude oil theft from 2009 to 2012 were gleaned from the records of three International Oil Company, IOC.

NEITI disclosed in a statement in Abuja that from the records of the three IOCs – Shell Production and Development Company (SPDC), Nigerian Agip Oil Company (NAOC) and Chevron Nigeria Limited (CNL) – it was able to establish that the country lost that much crude oil tHROUGH theft within the identified period.

The statement which contained extracts of discussions between the Executive Secretary of NEITI, Zainab Ahmed, and Governor of Kaduna State, Malam Nasir el-Rufai, was made available to THISDAY.

It also had Ahmed lamenting that the government’s subsidy of petrol had overtime been abused, with over N4.8 trillion expended so far by the government on subsidy payments alone.

Ahmed in this regard renewed NEITI’s call for a gradual phase-out of the subsidy scheme, adding that the scheme which was designed to benefit ordinary Nigerians has become a drain pipe of government revenue by a few privileged individuals through all forms of manipulation and corrupt practices.

She requested el-Rufai to support the job of NEITI and reform of the country’s extractive industries, saying that between 2009 and 2012, Nigeria lost about $1.1 billion to crude oil and product swap, while dividends worth $11.6 billion from the Nigeria Liquefied Natural Gas (NLNG) Limited is yet to be remitted to the Federation Account.
*Chineme Okafor – Thisday

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