Shell Worried Over Rising Oil Theft In Nigeria

AN OIL RIG IN THE NIGER DELTA AREA. Photo: Next

Abuja (THEWILL) – Royal Dutch Shell Plc friday, said it was worried over the rise in the theft of crude from its oil installations in the Niger Delta.

The Company said it recorded five attacks in the last 12 weeks, and noted that production was not affected as the oil fields were previously shut down because of the tension in the region.

A spokesman for Shell in Nigeria said, “We have growing concerns over the number of oil wellhead incidents, due to apparent oil bunkering, these incidents have severely tasked the resources of our Shell Petroleum Development Company.”

The affected farms according to Shell include, Egwa 14, Odidi 14, Bonu 41/50 and Jones Creek 47. The company said it has contained the leakage from the damages at Egwa, Bonu and Jones Creek, but was facing challenges with Odidi because of its swampy terrain and insecurity.

The company was an unable to give an estimate of the spillage.

The Niger Delta is Nigeria’s oil bedrock. It is home to various militias fighting over control of oil. The federal government recently introduced an amnesty program that has brought some sanity to the area.

Analysts say Nigeria has lost over $25 billion US dollars in revenue within the last 10 years due to theft of its crude.