Bayelsa oil theft: Lawmaker warns of subcontractor threat

The Chairman of the House of Representatives Committee on Petroleum Resources, Downstream, Hon. Ikenga Ugochinyere, has expressed concern over subcontractors’ involvement in oil theft and pipeline vandalism in Bayelsa, calling it a significant threat to crude oil supply for local refineries and export revenue.

This reaction follows reports of an oil surveillance operation uncovering a massive illegal bunkering camp in the Niger Delta. Among those implicated were subcontractors for Aiteo Eastern Exploration and Production Company, a leading indigenous oil firm owned by business magnate Benedict Peters.

In a statement on Saturday, Ugochinyere lamented that while crude oil has been a significant revenue source for Nigeria, it has also fuelled criminal activities. He noted that the petroleum sector, crucial to the nation’s economy, has unfortunately become a breeding ground for wealth accumulation through illegal means, including vandalism.

He emphasised that pipeline vandalism poses severe challenges, leading to the destruction of vital oil and gas infrastructure. The increase in such incidents, with subcontractors now implicated, is deeply concerning.

Ugochinyere warned that if pipeline vandalism is not curbed, it could jeopardise crude oil availability for domestic refineries and diminish export revenues. He called for the termination of contracts with implicated subcontractors and urged the immediate arrest and prosecution of those responsible to serve as a deterrent.