The Federal Government disclosed on Monday that crude oil valued at over N4.3 trillion was stolen in more than five years through 7,143 cases of pipeline vandalism. The revelation was made during the Nigeria International Pipeline Technology and Security Conference in Abuja, organized by the Pipeline Professionals Association of Nigeria.

The Nigeria Extractive Industries Transparency Initiative (NEITI), a federal government agency, presented data highlighting the escalation of oil theft and losses into a national crisis. The Executive Secretary of NEITI, Ogbonnaya Orji, emphasized the urgent and significant threat posed by oil theft to the oil industry's exploration and exploitation, with severe negative repercussions on economic growth, business opportunities, and the profit margins of oil companies.

NEITI's reports disclosed that in the last five years (2017 to 2021), Nigeria recorded 7,143 cases of pipeline breakages and deliberate vandalism, resulting in crude theft and product losses of 208.639 million barrels valued at $12.74 million or N4.325 trillion. The reports also revealed that Nigeria spent N471.493 billion during the same period to repair or maintain pipelines.

Orji highlighted the impact of oil theft on the oil and gas sector, which accounted for a significant portion of Nigeria's total export, government revenue, and foreign exchange. Despite these strategic contributions, the country has struggled to derive optimal benefits due to oil theft and losses through pipeline vandalism, sabotage, and insecurity in the region.

He pointed out that many members of the pipelines association were directly or indirectly involved in providing the skills and knowledge required to perpetrate oil theft. Orji stressed the need for stringent regulations and appropriate sanctions to address the involvement of association members in these illegal activities. He emphasized that the Nigerian economy cannot thrive in an environment marred by oil theft, pipeline vandalism, and overall insecurity in oil-producing communities.