Pipeline vandalism persists as Nigeria earns $5.18bn from oil export

The reoccurring attacks on oil pipelines across the country increased by about 50 per cent in January this year, even as Nigeria over $5.18billion from crude oil and gas export.

Financial and operational details released yesterday, in Abuja, by the Nigerian National Petroleum Corporation (NNPC), showed that earning increase of 94.30 per cent above December 2019 levels.

According to the report, the month’s crude oil export contributed $336.65million; 77.42 per cent of the dollar transactions in January, compared to the $136.36million sales recorded a month earlier, while export gas sales amounted to $98.20million.

However, there were about 60 pipeline breaches, compared to 40 incidents recorded in December, the state oil firm noted that Atlas Cove-Mosimi, and the Mosimi-Ibadan axis accounted for 50 per cent and 17 per cent of the line breaks respectively, while all other routes made up the balance 33 per cent, the report.

NNPC also noted that it is in collaboration with the local communities and other stakeholders to curtail the menace of vandalism.

In the distribution of Premium Motor Spirit (PMS), otherwise called petrol, NNPC said about 1.20 billion litres or 38.68 million litres/day of the white product were supplied in the month under review.

The Corporation also said it had continued to diligently monitor the daily stock of fuel to achieve smooth distribution of petroleum products and zero fuel queue across the nation.

In the gas sector, out of the 253.09 billion cubic feet (BCF) of gas supplied in January 2020, a total of 151.16BCF were commercialised, consisting 36.20BCF and 114.96BCF for the domestic and export markets, respectively.

This translates to 1,167.80 million standard cubic feet (mmscfd) of gas supply to the domestic market, and 3,708.23mmscfd was exported.
Broken further, NNPC said 59.89 per cent of the average daily gas produced was commercialised, while the balance of 40.11 per cent was re-injected, used as upstream fuel gas or flared.

Gas flare rate was 7.90 per cent for the month under review – 643.59mmscfd, down from an average of 8.46 per cent or 671.40mmscfd year-on-year in January 2019.

Out of the 1,167.80mmscfd of gas supplied to the domestic market in January, about 639.70mmscfd or 54.78 per cent, was supplied to gas-fired power plants, while the balance of 528.10mmscfd or 45.22 per cent was supplied to other industries.