Oil Theft In Nigeria
Nigeria’s oil-wealthy Niger Delta region is losing its battle against organised oil theft. In accordance with the managing director of the Shell Petroleum Growth Company, Mutiu Sunmonu, oil theft by native teams at the moment ends in a complete of $6bn per 12 months in lost income to the company giant. Different main oil companies have also mentioned they have been shedding an enormous amount of cash as a consequence of oil theft, and are paying enormous amounts for security.
The “blood oil” business, a term coined by Nigerian President Goodluck Jonathan, is reportedly run by armed groups in addition to activists calling for a fairer distribution of the nation’s huge oil income. Nearly all of Nigeria’s 160 million citizens stay in poverty – despite being residents of Africa’s greatest oil producer.
Zoin reliance petroleum refinery 50 Ibegi is a resident of the region. “Many of us stay [on] less than one cent a day despite being blessed with crude oil,” he stated. “This forces many people into the illegal refinery business as a result of we won’t proceed in poverty.”
The Nigerian government has deployed soldiers to the restive region to eradicate these “firewood distilleries”, as they are generally identified. When an illegal oil refinery is located, those involved are arrested and the refinery reliance petroleum refinery 50 is burnt down. According to Onyema Nwachukwu, a spokesman for Nigeria’s Joint Process Pressure, such methods are used with a purpose to make it difficult for perpetrators to return to the illicit oil extraction trade.
In 2009 an amnesty was declared, paying off people who had been engaged in “oil bunkering”: stealing and selling oil, then sharing the profits with the group.
However, the siphoning of oil and makeshift oil refineries are solely part of the issue. Oil-producing areas also suffer from high levels of pollution, and Ibegi says the liquid often spills into rivers used for fishing.
Many observers believe that the 2009 amnesty is just reliance petroleum refinery 50 not working, claiming it’s only a method to buy off Kinetic Energy Refinery Equipment “troublemakers”. They argue that finally, the core problems affecting people within the Niger Delta – poverty and inequality – have not been addressed.