NNPC Weekly: Company Mobilizes Stakeholders to Fight Crude Oil Theft


By Edith Ike-Eboh and Emmanuel Afonne

The Nigerian National Petroleum Company Limited (NNPC Ltd.) kicked off its activities for the week with a call for support from oil and gas sector players to combat crude oil theft in the Niger Delta region.

Stakeholders included the National Union of Petroleum and Natural Gas Workers (NUPENG) and the National Association of Road Transport Owners (NARTO), among others.

Group Managing Director and NNPC Chief Executive, Malam Mele Kyari, made the call during the 5th Quadrennial NUPENG Delegates Conference held in Asaba, Delta State.

The theme of the conference was “A just energy transition: for the well-being and social security of oil and gas workers”.

Kyari said the theft of crude oil had negatively impacted revenues owed to the federal government and robbed the country of much-needed funds to spur economic development.

“It is also a great threat to NNPC Limited’s pursuit of energy security in the country,” he said.

The NNPC GMD also told conference attendees that the impact of pipeline vandalism has reduced the country’s ability to meet its oil production quota.

Kyari said that as major stakeholders in the oil and gas industry, now is the time for NUPENG and NARTO to work together with NNPC to put an end to the problem of crude oil theft.

He said everyone must be involved in the fight to save the industry from collapse.

In a related development, the House of Representatives during the week under review pledged its support for the NNPC’s fight against crude oil theft and pipeline vandalism in the Niger Delta.

Chairman of the House of Representatives Committee on Petroleum Resources (Upstream) Musa Sarkin-Adar gave the assurance during an investigative hearing on the status of crude oil production and price in the country.

Sarkin-Adar said the legislature would support the NNPC by passing adequate legislations to help address the challenges facing the oil and gas industry.

He commended the company for the initiatives it had taken so far to deal with the twin threats of oil theft and pipeline vandalism.

Earlier in a presentation to the Committee, GMD/CEO of NNPC, Malam Mele Kyari, identified oil theft, pipeline vandalism and illegal refineries as the main factors responsible for low oil production in the country.

He revealed that the federal government has introduced strategic and coordinated measures to stop the trend of ensuring an increase in crude oil production.

Kyari said the national crude oil production would reach between 2.2 and 2.4 million barrels per day by the time all the measures instituted to address the challenges start yielding results.

NNPC GMD also called for the establishment of an independent judiciary (a special court) to promote speedy prosecutions in cases of oil theft and pipeline vandalism.

He said now is the time for all stakeholders to join in advocating for the law to come down on all those involved in the crimes of crude oil theft and pipeline vandalism.

Regarding the rise in the price of petroleum products, the NNPC explained that although prices were determined by a mixture of international and local factors, the Company’s intervention had led to relative price stability in the country.

In dispelling lawmakers’ fears and doubts about the positive influence of the Petroleum Industry Act (PIA) on the country’s oil and gas industry, NNPC assured that the fiscal and regulatory frameworks of the PIA would bring definitely a higher value in the industry. in due time as full implementation of the law is underway.

Also during the week, NNPC Ltd. applauded the Nigerian security agencies for their respective roles in ensuring the smooth running of the business, especially during the recent fuel supply crisis.

NNPC was awarded the Commendation at the 1st Quarterly Security Stakeholder Meeting of 2022 hosted by the company’s Group Security Department (GSD) at NNPC Towers, Abuja.

In her opening remarks, the Group Executive Director (GED), Corporate Services, Mrs. Aisha Ahmadu-Katagum, expressed her gratitude to the various security agencies for all the efforts made to secure the activities, personnel and facilities of the NNPC.

Ahmadu-Katagum, who was represented by the managing director of the group’s Information and Technology Division (ITD), Danladi Inuwa, said the NNPC recognizes the agencies’ support to ensure the maintenance of the law and order during the recent fuel supply problem.

She added that the company will continue to work with them to ensure smooth distribution of the company’s products across the country.

Also speaking at the meeting, the General Manager of the Group Security Division (GSD), Mr. Abba Mohammed, called for deeper collaborations, noting that the current security situation in the country requires the cooperation of all stakeholders in the security sector.

Attending the meeting were representatives of the Nigeria Police Force, Nigerian Army, Department of State Services, Nigerian Security and Civil Defense Corps and Federal Fire Services.

In the meantime, the Association of Professional Women Engineers (APWEN), in collaboration with NNPC Ltd., has constructed, commissioned and donated a well-equipped multi-million naira science and technology laboratory with a motorized borehole at Sarki Ahmadu Primary School, Misau, Bauchi State. .

Speaking at the inauguration of the project which took place in Misau, Bauchi State, GMD/CEO of NNPC Ltd., Malam Mele Kyari said the program aims to promote the study of science, of technology, engineering and mathematics (STEM) among primary school girls between 8 and 10 years old.

Kyari, represented by the company’s chief innovation officer, Mrs. Betty Ugona, described the project as one of the biggest and most ambitious attempts to encourage more girls across the country to pursue careers in the science, technology, engineering and mathematics.

In her welcome address, APWEN President Dr. Elizabeth Eterigho said scholarships were awarded to the top 21 students from 10 primary schools in Misau after conducting a series of hands-on experiments with materials from all days.

She added that scholarships sponsored by NNPC Ltd. would cover the tuition fees of the winners from primary school to tertiary level.

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