The company’s weekly program tagged “Energy and You” states that these incidents include; illegal refineries, illegal connections, vandalism, oil spills, illegal storage locations and others.

According to the NNPC, there were 165 cases of illegal refineries in the week between the 15th and 21st of June 2024. Also, cases of illegal connection amounted to 69, there were 15 cases of vandalism, 8 incidences of oil spill, 19 cases of illegal storage location, 74 cases of vessel AIS infraction etc.

The oil giant noted that, these incidents were reported by different companies and security agencies across the Niger Delta including Tantitta Security Ltd, Pipeline Infrastructure Nigeria Limited (PINL), SPDC, NNPC Command and Control Centre, Maton Engineering, government security agencies and others.

Furthermore, the NNPC reported that the bulk of the 400 incidences recorded during the week occurred in the Western region of Rivers and Bayelsa states with 265 incidences.

This was followed by the deep blue waters off the coast of the Niger Delta which recorded 74 incidences while the Eastern region saw around 65 incidences and the Western Niger Delta saw around 26 cases which mainly occurred in Delta state.

During the period under review, around 8 suspects were arrested by security agencies and stakeholders in the oil and gas industry.

The near record number of crude oil thefts recorded in one week reflects the state of the Nigerian oil industry where production levels have consistently been below expectation and seen declining levels of investment.

Crude oil theft in the Niger Delta has resulted in the destruction of the region’s natural ecosystem, low revenues to the federal government and divestment from onshore fields by international oil companies.

According to the Organization of Petroleum Exporting Countries (OPEC) monthly oil market report, Nigeria has consistently failed to meet its OPEC+ oil production quota of 1.5 million barrels daily. In May, crude oil production fell to 1.25 million bpd according to OPEC.

Beyond the decline in oil production, theft and insecurity in the Niger Delta has resulted in a significant decline in investment in the country’s oil and gas sector and divestment by oil majors like Exxon, Shell and Total Energies.

Earlier this year, Shell announced the sale of its onshore business in Nigeria for about $1.3 billion to the Rennaissance consortium– a group of local players in the oil industry.

Last year, Equinor announced plans to leave the Nigerian oil business after about three decades of operation in Nigeria and ExxonMobil’s sale of its assets to Seplat is still in regulatory limbo for about two years now.

According to the reports, NNPC Ltd was purportedly involved in inflating subsidy claims by N3.3 trillion. 

However, the company has refuted these claims, asserting its diligence in conducting business with accountability and transparency, adhering to international best practices. 

The company maintains that it has never engaged in inflating subsidy claims with the Federal Government. NNPC Ltd further clarifies that all previous subsidy claims are meticulously documented and can be verified, with relevant records and documents already submitted to the appropriate authorities and agencies.

“NNPC Ltd conducts its businesses accountably and transparently in keeping with international best practices and has, at no time, inflated its subsidy claims with the Federal Government. All previous subsidy claims by the Company are verifiable as relevant records and documents have been sent to relevant authorities and agencies.”

Again, NNPC Ltd categorically states that it is not aware of any ongoing audit or probe into its subsidy claims. The company labels the allegations as baseless and products of the reporters’ imagination. 

NNPC Ltd emphasizes its determination to resist any attempt to involve it in the politics surrounding fuel subsidy issues. The company explains that it now operates on a commercial basis in accordance with the provisions of the Petroleum Industry Act (PIA).

Highlighting its focus on transparency and accountability, NNPC Ltd revealed that it has independently invited external auditors on several occasions to review its books. “It is on record that in line with its Transparency, Accountability & Performance Excellence (TAPE) mantra, NNPC Ltd. has, on several occasions, independently invited external auditors to review its books.”

The company urges media practitioners and outlets to exercise caution and verify information before publication. The company stresses the importance of adhering to journalistic ethics to prevent the dissemination of misleading information to the public.

Olufemi O. Soneye, Chief Corporate Communications Officer at NNPC Ltd, issued the statement from the company’s headquarters in Abuja on June 10, 2024. The NNPC Ltd calls for responsible reporting to preserve the integrity of the profession and maintain public trust.