Multinational oil company, Royal Dutch Shell says it lost 9,000 barrels of crude oil to theft from the pipeline network of its Nigerian operation per day in the 2017 fiscal year.
Shell made this known in its ‘Report on Payments to Governments for the Year 2017’ released on Monday, April 9.
The company attributed the loss majorly to the militant-induced shutdown of the Forcados export terminal in 2016 and called for more government action to curb the menace.
It said, “This demonstrates that continued air and ground surveillance, as well as the action by the government security forces, remain necessary to prevent crude oil theft. Since 2012, SPDC has removed more than 950 illegal theft points.”
The company said in spite of the disruptions, it paid more money to the Nigerian government in 2017 than to any of the government of the other 28 countries it operates in.
The company said it while it paid $3.197bn to the Nigerian National Petroleum Corporation for production entitlement, $765.526m was paid to the Federal Inland Revenue Service in taxes, $160.71m and $239,189 were paid to the Department of Petroleum Resources in royalties and fees, and N79.675m to the Niger Delta Development Commission in fees last year respectively.
Shell added that though the number of oil spillage from its operations in Nigeria increased from eight in 2016 to nine in 2017, the volume of oil spilled in operational incidents decreased to 100 tons, compared to 300 tons in 2016.
It also said that the number of sabotage-related spills in 2017 increased to 62 from 48 in 2016.