My Brother, don't worry about all these cheating, Nigeria is gradually coming to an end. Day of freedom and liberation of Southern Nigeria from the clutches of oppression and apartheid is close at hand.

December 22, 2013 6:09 pm

Time for Nigeria to plug its oil leaks
Only an audit can resolve confusion over missing billions

For more than a generation technocrats, politicians and oil men have wrestled over whether and how to go about strengthening oversight of Nigeria’s notoriously opaque oil industry. One conclusion that can be drawn from the official confusion this month over the proportion of oil revenues going missing is that little progress has been made in bringing greater transparency to the sector. Africa’s leading oil producer still hosts an industry subject to billions of dollars in abuse, in obvious need of more stringent monitoring.

The latest debate around the issue was sparked by a leaked letter to Goodluck Jonathan, the president. In it the central bank governor warned that the state oil company had failed between January 2012 and July 2013 to account for nearly $50bn in revenues from oil sales. Somewhat inured though many Nigerians are to big-ticket scandals, the scale of this revelation elicited a sharp national intake of breath.

Opponents of the president have been quick to take advantage amid a general rise in the political temperature ahead of the 2015 elections. Last week 37 members of the national assembly crossed the floor to opposition, causing the ruling People’s Democratic party to lose its majority for the first time since the return of civilian rule in 1999. Mr Jonathan’s presidency is deeply wounded.

As it turns out, the central bank’s calculations contained big omissions. After poring over the data, officials have whittled the figure for related shortfalls down to more like $11bn. There are big questions still left to answer, however. The first is how the state oil company justifies withholding the $11bn identified. This in turn is part of a bigger puzzle over falling oil revenues that drove the central bank governor to raise the alarm in the first place.

Part of the answer lies in industrial-scale theft direct from pipelines. Another may lie in regulatory uncertainty. Far-reaching legislation designed to clean up the mess in the sector has been languishing for five years. As a result there has been a marked drop in investment in fresh production by the international oil companies.

Yet the shortfalls on the books are not fully explained by production losses and fluctuations in price. Oil earnings this year are down by about a third in dollar terms compared with 2011, while the fall in exports is on average 10 per cent. Swap contracts, when crude oil allocated for domestic consumption is exchanged for refined product imports without money changing hands, may be hiding further substantial losses.

To fill gaps in the budget this year the finance ministry has had to draw down on the rainy-day savings fund that is financed by windfall earnings above the budgeted price of oil. This has left Nigeria unnecessarily vulnerable to shocks.

Heading into the 100th anniversary year of its creation, Africa’s most populous nation should be in a better position. Investor interest in the country’s potential as a market and a motor for regional growth has rarely been higher. The oil price is high and the economy is growing at about 7 per cent. Not for he first time, Nigerians are being let down by poor stewardship of the oil industry, on which their country still depends for more than 90 per cent of export earnings.

Mr Jonathan should order a forensic, external audit of the oil accounts to clear up the confusion. This could go two ways. It could expose the real extent of losses owing to gross mismanagement and knock a further dent in public confidence. However, it could also show that government is serious about plugging the holes, while adding urgency to the passage of legislation meant to restore the industry back to health.

http://www.ft.com/cms/s/0/d8a2be64-697c-11e3-aba3-00144feabdc0.html#axzz2oFeWcDGl

Old recycled piece, too boring and stale to make front page, having already made it before.

Besides, there had been a technically sound researched rejoinder on the issue (by a southerner in the oil industry) which revealed that majority of these field have not yielded a single drop to their owners let alone earned them any largesse as being imagined by those in envy.

Its also worthy to note, it wasn't only northerners but also SW and MB who benefited.

Assuming all the above were true, then it is safe to say that southerners are in fact the lazy and parasitics ones; since all they do is sit and wait idly for the money while northerners are the ones actually producing the oil - how ironic, so as from now on all you southern parasites should STFU

Me_Aboki: Old recycled piece, too boring and stale to make front page, having already made it before.

Besides, there had been a technically sound researched rejoinder on the issue (by a southerner in the oil industry) which revealed that majority of these field have not yielded a single drop to their owners let alone earned them any largesse as being imagined by those in envy.

Its also worthy to note, it wasn't only northerners but also SW and MB who benefited.

Assuming all the above were true, then it is safe to say that southerners are in fact the lazy and parasitics ones; since all they do is sit and wait idly for the money while northerners are the ones actually producing the oil - how ironic, so as from now on all you southern parasites should STFU

dat y u guys r tune to alamajiri .a.k.a modern day slavery

churchmind: dat y u guys r tune to alamajiri .a.k.a modern day slavery

eediot• Why dnt u drill the crude oil frm its source, why wait for a stranger to do the drilling from the real source, and after he has done the hard job, u ll tell him 2 giv u his hard earned money while u were busy lazying about• Anyway u pple in d creeks r all theives!!! The northeners have the money to run the oil business while u morons ll only be hating

northern parasites get 1000 by 2000 meters wide mouth in size when other parasites are using 100 by 100 meters,all na parasites sha. plsoooh,GEJOOOOO they will finish us ooooh pls start switching off our oil taps plsooo, our parasites are now immune to sheltox more we spray it on them more they are biting harderooo plsooo.Our body cannot take all these leeches oooh they are sucking us dryoooo pls switch off the taps is too much, we dey vex GEJ u hear me we dey Vex..too much yeye dey smell

stevoski059: What do you expect, 38yrs rule, no single niger deltan no wonder people leave on barchers in bayelsa.

Ha, this is mind boggling. This item must be on the agenda for the conference.

A complete audit must be conducted to establish who owns what. Thereafter, the NNPC must take over and hold the the oilfields in trust for posterity. This is after a complete overhaul of NNPC.

It cannot be business as usual. Perhaps a law is required to do this but individuals should not be allowed to own oil blocks if that will stop these mandarins

The most annoying thing is that all the income these guys generate is not reflected in the productive process. I weep for Nigeria. These guys make all the money and we get the headaches. What a life!!!!

fiizznation: eediot• Why dnt u drill the crude oil frm its source, why wait for a stranger to do the drilling from the real source, and after he has done the hard job, u ll tell him 2 giv u his hard earned money while u were busy lazying about• Anyway u pple in d creeks r all theives!!! The northeners have the money to run the oil business while u morons ll only be hating

^^^Maybe if the owners of the land where the crude is found had been given half a chance to control their own resources, then you'd be in a better position to ask why they didn't drill it from source themselves.

Don't you find it strange that it's only the north that seems 'to have the money' -as you put it- to run the oil business? Where did they get all that money from.....and does it mean they're more business savvy than other regions/ethnicities?

Reverse comparative advantage, abi??

Ikengawo: And they're telling gullible Yoruba people that jonathan is the 'problem' with Nigeria

YORUBAS ARE HELPLESS MY BROTHER.

We don't need to worry too much about after all ojukwu saw this before we all was born but the elder of south south refused they want live with Nigeria not with south east their brothers

DerideGull: @OP

Anybody who thinks Nigeria should not be disintegrated had to be shot. If non-elite Nigerians need succor from hash economic realities instigated by the actions of wicked leaders, disintegration is the answer and will put an end to all the nefarious share of their common wealth by iniquitous elites.

It is a pity the northern elites have to use the money secured from crude oil exploration in Nigeria, which will leave impending health hazard for future generation of southerners, to lure politicians into rekindling the NPC = APC. Most Nigerians knew what NPC stood for and how it went around accomplishing its evil machinations.

AIRHEAD AND BITTER KID (ILUGUNBOY] WILL SOON DESCEND ON YOU FOR TRYING TO BREAK THEIR MOST CHERISHED MARRIAGE WITH THEIR FULANI MASTERS

Serious?

There is no too much worry , we should lean how to live with them like that ,after all ojukwu saw this before we were born but king saroriwa and co join them and fought again ojukwu his eastern brothers. South south shame to you and if you dont take a correction this is just a start as you all are saying today south east should not join south south. Can you achieve your goal with out south east? Let be open to you guys , please not tomorrow you people will start blaming Yorubas. This is just reality go and join with brothers ibo and defeat Hausa. You cannot success alone with out ibo like wisely during the war ibo didn't not succeed with you guys. If you re wise correct your mistake now

stewpeed comments frm clowns•

The northerners have being rich even b4 the crude oil was discovered•

So u ugly morons want to tell me that rich northern folks like:
1. Tofa
2. Dantata's
3. Indimis
4. Kabos
5. Dangotes
6. Farouks
7. Rabius
8. Marwas
9. Bafarawas.
10. Deribes
11. Shinkafis
12. Harunas
13. Garbas
14. Aliyus
15. Bayeros
16. Idris
17. Mongonos
18. Etc etc

all got their money frm the crude oil ?

Northerners have being rich even b4 the so-called oil was discovered. So it is now a crime because some of these rich people frm the north invested their wealth in crude-oil ventures?

I also laugh whenever I hear some of the folks in the south keep saying "our oil"•
Now tell me how the oil becomes urs. U guys r just occupying a territory were the oil is and that's final•

[color=#000099]Geographically a state like alaska shdnt be among the states in USA because alaska doesn't share any boundary with the US. But today US benefit frm the natural resources extracted in alaska. And I haven't heard any alaskan saying is "our resources" even though US focuses mst of is attention on science and technology and is also a capitalist nation. So mayb I shd understand•


But in nigeria u keep hearing lazy buffoons who dnt even knw hw d crude-oil is extracted screaming at the top of their voice that the oil belongs to them• if u say they oil is urs, why not then pick up ur hoes and diggers to extract d crude oil urself and refine them after?

Ohh u can't extract it by urself ?

Where u even the ones that deposited the oil there?
Or was it written in the bible that "the crude-oil in the S/S belong to the niger deltans?"

Today almost 4 northern states combine don't get what a tiny state like bayelsa gets frm the FG. U better hold ur governors responsible for the poor state u lots find urselves instead of disturbing everybody with the mst ridiculous words ever called "our oil"
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aventura: I work in the oil and gas sector so I can attest to this article. Never knew that the seplat department that I go every day is owned by a Kano prince. Boy you need to see the way they treat their drivers: better than npdc drivers. The ITs there are big boys.


When you read this kind of article then you'll support a mediocre Jonathan, I swear.

I always know thi§

Super1759:
I always know thi§

know what?

Nigeria is expiring by 12 midnite to today.

Biafrans, Niger Deltans and Middle Beltans!

It is our time! Rise up and shake off the "beast"!
Shake off Nigeria!

The Northern Jiharidists and their slaves in the "Western District" can continue to play the hide and seek game.

Long live Biafra!

2015 election is about oil wells and ruling cabal.But i think south west and south east should not betray south south.south south should go for second term for equity and fairness.in terms of performance ,GEJ is performing but this election is not about performance,its about getting oil well and keeping the jink of ruling cabal.

redsun:
Manhn! These animals have held nigerians in bondage for so long.Animals like danjuma,otedola and co

It is time true nigerians cry blood.

OPERATION TAKE BACK OUR BELONGING .


I MEAN OUR OIL .

The pushing forward of a brain-dead illiterate terror gang leader called Bokko Hari is further evidence that the northern Born-to-Rule parasites are utterly desperate to install one of their own tribe, regardless of how dim-witted and blood-thirsty that candidate happens to be, all because they THINK that their quiet,behind-the-scenes plunder of the Niger Delta oil fields will continue forever, as it has for the past half century.

Little do the parasites from the north of Nigeria know that the tables have turned, and that the awakened Izon Egbesu Warrior Spirit FORBIDS and forecloses ANY chance of a return back to the dark age of born-to-rule kleptomania in Nigeria.

lorddannie:
the north through their military juntas have succeeded in snatching the wealth of the south south and gave it to their families, cronies and friends.

I expected the democratic govt since 1999 to have withdrawn those licences and rendered them null and void since they are clear cases of daylight robbery and marginalization of a section of this country.

Imagine all those licences controlled by northerners. I am not surprise they are doing everything to undermine GEJ efforts and label him incompetent. They just want the injustice to continue and the imbalance not corrected.

For SNC we stand!

Just imagine the oil being in the north

^^^Besides the Efik/Ibibio/Annang, i don't pity anyone else that has had their oil wealth plundered and shared amongst the 'owners of Nigeria'!

You invited a crook into your house because you believed his lies that he wants to protect you against the very neighbours you've lived, traded and inter-married with for centuries; that these same neighbours are now your 'oppressors' and are out to get your oyel!

Serves them right!

This is why people like tinubu would sacrifice the future of yoruba youths to secure an oil well for himself.

Reasonable Nigerians are awaoft that the renewal of those oil well license is slated for 2016 hence why they want to force Buhari on us,the same reason why the united states is in support of Buhari.

mrborntodoit:
This is why people like tinubu would sacrifice the future of yoruba youths to secure an oil well for himself.

Reasonable Nigerians are awaoft that the renewal of those oil well license is slated for 2016 hence why they want to force Buhari on us,the same reason why the united states is in support of Buhari.

In the end they will only succeed in FORCING Buhari back to his village, where he can elect himself the Seriki for life, free to pass that title on to his illegitimate spawn as their own born-to-grab inheritance.

Jakumo:


In the end they will only succeed in FORCING Buhari back to his village, where he can elect himself the Seriki for life, free to pass that title on to his illegitimate spawn as their own born-to-grab inheritance.