NLNG Confirms Improvement In Crude Oil Transportation After NNPC Hydrocarbon Surveillance
Fred Omotara, Lagos
The Nigeria Liquefied Natural Gas (NLNG) Limited has confirmed improvement in key crude oil transportation pipelines following the effort of the Nigerian National Petroleum Company (NNPC) to combat crude oil theft.
NLNG spokesperson, Andy Odeh confirmed that the success was recorded after NNPC increased surveillance and the fight against oil thieves and vandals.
“We have begun to see improvement in the availability of key crude oil transportation trunklines,” Odeh told Reuters.
He added, “If this trend is sustained, we expect it will support improved gas supply to NLNG once currently flooded oil and gas infrastructures becomes accessible,”
Recall that Nigeria loses 700 barrels per day to crude oil thieves amounting to $70m daily at $100/barrel. Crude oil theft has forced Nigeria to slack in meeting its 1.8 million OPEC quota, while production remained below one million barrels daily.
The menace has complicated the country’s foreign exchange woes as Nigeria relies on crude oil sales as a major contributor to its forex earnings.
To combat the challenge, the NNPC Ltd launched a new Hydrocarbon Infrastructure Security Architecture which recognizes the important role of the Host Communities in dealing with oil theft.