Barring other arrangements, Nigeria has lost a
minimum of $35.139 million, about N7.029 billion,
over the last three days, as Shell Nigeria, yesterday,
said it has shut down the 180,000 barrels of crude oil
per day Trans Niger Pipeline. According to a
statement by Shell, the company shut down the
pipeline, May 12, but failed to state the reasons for
the shut down and when it would be reopened. The
Trans Niger Pipeline is critical to Nigeria’s crude
export as it carries Nigeria’s crude oil, Bonny Light, to
an export terminal.
Traders told Reuters that Bonny Light loadings have
been delayed by up to four days over the past week.
The Trans Niger Pipeline, according to Shell,
transports around 180,000 barrels per day of crude
oil to the Bonny Export Terminal and is part of the
gas liquids evacuation infrastructure, critical for
continued domestic power generation and liquefied
gas exports.
The Central Bank of Nigeria puts the average price
for Bonny Light at $65.07 per barrel. This means that
for every day that the pipeline is shut, Nigeria will be
losing a minimum of $11.713 million, about N2.343
billion.
The Nigerian National Petroleum Corporation, NNPC,
had a couple of weeks ago, lamented the recent
increase in the attack on crude oil and gas pipelines
across the country, stating that the country is losing
about 60,000 barrels of crude oil and condensates
daily whenever there is a pipeline break. The NNPC
had also stated that over 50 attacks were launched by
vandals on the nation’s crude oil and gas pipelines in
the last six months.
Group Executive Director, Gas and Power of the
NNPC, Mr. David Ige, had stated that apart from the
loss of revenue from crude sales, the vandalisation of
the pipeline is expected to worsen the country’s
power situation as a number of power plants relying
on gas supply from the pipeline will be starved of gas
to generate electricity. Ige lamented that between
January and February 2015 alone, the Trans-Forcados
crude oil pipeline was attacked and vandalised four
times, adding that none of the corporation’s gas
pipelines has been able to run two straight days
without being brought down.
Ige, however, stated that the NNPC was exploring a
number of options on how to tackle the pipeline
vandalism menace, ranging from an aggressive
community engagement to installation of
technological gadgets to stave off the vandals. He
called for a holistic approach to resolving the pipeline
vandalism scourge ranging from tightening security
to expeditious judicial enforcement, to bring to an
end the menace which has deprived the country of
several billions of revenue.
Also, Nigerian Gas Company, NGC, a subsidiary of the
Nigerian National Petroleum Corporation, NNPC, had
in few days ago, stated that Nigeria has lost a
minimum of N8.04 billion since January, to the
incessant vandalism of gas pipelines. Managing
Director, NGC, Mr. Dafe Sejebor, disclosed that since
the beginning of this year the country has witnessed
an unprecedented increase in the spate of gas
pipeline vandalism.
He added that within the last two months, it has
recorded three major attacks on its pipeline network,
mainly in the Niger Delta region. According to him,
whenever these pipelines are sabotaged, we are
forced to shut down the pipeline, and we defer a
minimum of 200 million Standard Cubic Feet, SCF, of
gas per day.

Source: http://www.vanguardngr.com/2015/05/nigeria-loses-n7bn-as-shell-shuts-trans-niger-pipeline-3/

Shey Shell dey Mad Ni

Shell ti wo weyrey ni?