adminincessant crude oil thefts and vandalism along major pipelines within the Niger Delta were responsible for the significant drop in crude oil production in the first quarter of 2013.
Ms Green said that daily crude oil production during the period fluctuated between 2,1 million and 2,3 million barrels per day compared with the projected estimate of 2,48 million barrels per day.
“Expectedly, this fall between actual production and forecast in first quarter 2013 has resulted in a drop in crude oil revenue of about US$1,23 billion that should have accrued to the Federation Account,” Green said.
She explained that the NNPC/Shell Petroleum Development Company Joint Venture recently declared a force on Bonny Crude due to incessant crude oil theft, which had resulted in the shutting in of 150 000 mbpd.
She said: “Investigations showed that 53 break points were discovered along the 97-kilometre Nembe Creek Trunkline. Repair work is expected to last about six weeks.
“This will further reduce our April and May monthly average to about 2,2 mbpd and further decrease crude oil revenue by about US$554 million that should have accrued to the Federation Account.”
Ms Green, however, assured consumers that the maintenance work would have a minimal effect on gas supplies to the domestic market.
“We shall continue to work with relevant government agencies, both at the federal and state levels, to end this incessant crude oil theft and pipeline vandalism.
“We have the potential to meet the national target of 2,48mbpd if this menace is eliminated,” she said.
The NNPC spokesperson maintained that crude theft and pipeline vandalism would continue to degrade the environment, increase operational costs, impact negatively on the image of the country and reduce revenue accruable to the nation.
She appealed to all stakeholders to co-operate with the corporation as it strived to eliminate the menace. — CAJ News.
Online Reporter