NNPC discovers and shuts down 395 illegal refineries linked to Forcados

Group Managing Director of the NNPC, Mele Kyari (Nairametrics)
  • NNPC has shut down 395 illegal refineries linked to Forcados
  • NNPC chairman disclosed that the scale of the illegal operation discovered is unprecedented
  • The NNPC was able to make progress with the help of private security contractors

The Nigerian National Petroleum Company Limited is taking drastic action to halt the growing oil theft in the country.

The NNPC chairman Mr. Mele Kyari announced on Tuesday, during a briefing with the Senate ad hoc committee on oil theft in Nigeria that so far it has shut down the operations of 395 illegal refineries linked to Forcados, a small town in Delta.

“We have deactivated 395 illegal refineries; we have taken down 273 wooden boats, we have destroyed 374 illegal reservoirs, we destroyed 1,561 metal tanks.” Mele Kyari said.

He added, “We have seized over 49 trucks and burnt them down; we have discovered illegal oil pits of 898 so far, and, 219 cooking sites have been taken down.”

The action is in response to the incessant oil theft that has cut down the entire country’s petroleum output. Oil production output went from 1.8 million barrels per day to 1.2 million barrels to below 1 million barrels per day.

The NNPC chairman also disclosed that they had caught wind of an illegal connection of four kilometers route into the sea running from its major Forcados line, which he estimates has been around for 9 years.

Mr. Kyari stressed during the meeting that a criminal enterprise of this magnitude seemed extraordinary. He was startled that such an illegal operation could range not only in the size it did but in how long it ran.

"The scale of oil theft, vandals that we are seeing today is unprecedented, prices of crude oil are so high in the market today, for oil thieves to operate.” He said.

“But we have put a structure of security hovering around our partners, all the government security agencies, we have set up private contractor security.” He continued.

“The Brass, Forcados, and the Bonny terminals, are all practically doing zero production today; the combined effect is that you have lost 600,000 barrels per day when you do a reality test. But we hope to restore production to the Forcados terminal, this is as a result of the security intervention that is ongoing,” he concluded.

The NNPC earlier this year had solicited the assistance of private security services, and so far, these private contractors have yielded incredible results. Read story here

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