Nigeria loses a minimum of $5 billion to the activities of bunkerers annually, the Managing Director of Shell Petroleum Development Company, Mutiu Sunmonu, has said.
Sunmonu, during a courtesy visit to the Executive Secretary of the Nigeria Extractive Industry Transparency Initiative, Zainab Ahmed, said: “Our greatest challenge is about criminal activities where people steal crude every day.
“Nigeria is losing at least $5 billion every year as a result of criminals stealing our crude, exporting our crude illegally.
“People stealing crude and refining them illegally – that is what I believe we need to worry about.”
Sunmonu, during the visit in Abuja on Wednesday, equally said vandalism was a major challenge, especially for the SPDC, adding that all stakeholders must forge a strong synergy to deal with the challenge.
He had this to say to NEITI that has just commenced the audit of the oil and gas and solid minerals sector, a process that is due for completion in October 2012: “I really want to seize this opportunity to encourage the NEITI to also lend a voice into stopping this menace of crude oil theft;.
“It is something which I really worry about.
“It is the one thing that gives me sleepless nights because if you don’t stop this, I can guarantee you that the revenue from oil business to the government in particular, will continue to dwindle.
“So, that should be our area of focus.”
Ahmed said she was optimistic that the visit would help improve the process of auditing and reconciling the accounts of the oil companies in the country, adding: “Over the years, there has been a missing gap in NEITI’s engagement with the companies in Nigeria resulting in fear, distrust, information gap and resistance to comply with NEITI audit requirements.
“I hope that by your visit today, a new chapter has been opened in the relations between NEITI and companies in general and Shell in particular.”