Nigerian Military Task Force Cracks Down on Oil & Gas Smugglers, Vandalism

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Written by Richard Finlayson, Senior International Editor for Industrial Info Resources (Sugar Land, Texas)--In an effort to curb crude-oil smuggling and damage to oil and gas pipelines, Nigeria's joint military task force (JTF) in the Niger Delta has impounded smugglers' barges, while the government is budgeting for pipeline repairs.

The problems with smuggling and vandalism have affected the future development of Nigeria's important hydrocarbons resources, both onshore and offshore. International majors in the sector are finding it impossible to operate in the prevailing environment, and political obfuscation has lead to a lack of executed policies.

In early January, the JTF's oil bunkering patrol squads impounded 20 barges and five boats carrying crude oil that is suspected to have been stolen in state of Bayelsa. The troops also discovered two illegal refining sites concealed in farmland in the River and Delta states. The illegal refineries were destroyed, while 18 surface tanks, 11 drums, four plastic tanks, two pumping machines and hoses were recovered. Suspects were arrested for siphoning off oil from a flow station.

The Nigerian National Petroleum Corporation (NNPC) has set aside funding to repair ruptured points along about 110 kilometers (68 miles) of pipeline carrying gas and crude-oil condensates. Vandalism accounts for the loss of 480 million standard cubic feet per day, which is equivalent to about 1,600 megawatts (MW). Maintenance at the Utorogu gas plant also results in the loss of 60 million standard cubic feet per day. Other pipeline ruptures result in the loss of 420 million standard cubic feet per day.

For related information, see November 27, 2013, article - Pipeline Vandalism Shuts Down Nigerian Gas-Fired Power Station.

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