back then there was no oil to mismanage. everyone was planting and managing his or her own crops. when nothing belongs to the government, what is there to mismanage. crops belong to farmers and each farmer manages his output. even when tin mining was booming, those that dig them, get paid for it. bu oil, no one can drill it out except the oil companies and the money goes straight to gov accounts. thats the difference and thats why there was no mismanagement.

Feelitx:

@The One,

You were correct. NNPC, DPR,Customs & Reps of the oil companies are represented during loading and the metering skid s are calibrated more like a monthly basis. That report can not be entirely correct.

The NNPC, DPR and Customs representatives get settled before the loading so the companies takes more than they should.

Ha! Naija, Money don come. . .
makes no difference to me.
even if they collect all the money that had being stolen away from Nigeria, starting with our Art Works. make no difference to me. Na only me no how I take dey survive for here. . . Even when them collect all the money them go still find way corlorby ham like them do to Abacha Money. Sorry Nigeria Money better still to 'their money.'

It's obvious that a lot of us here have very narrow understanding of the dynamics of crude oil sale in Nigeria. I suggest we do not rely on Newspapers ''reports'' and hearsays. Do some research and come back with facts.

ono:

It's obvious that a lot of us here have very narrow understanding of the dynamics of crude oil sale in Nigeria. I suggest we do not rely on Newspapers ''reports'' and hearsays. Do some research and come back with facts.

What is wrong with you - did you read the report. Nnpc , finance department and others dont have a figure - all contradicting themselves . Nodody here made up the story.

please follow the link.

The media can say watever they want. . . . Its really not dat bad. . . DPR officials have an idea. They have an imprecise but really close figure. Oil companies submit the well performance reports to DPR every quarter. Even if the DPR officials may not actually use a flow meter to measure daily production and export. . . they can agree with the report sent by those companies under corporate transparency acts. . . and the multinational companies wouldn't wanna tarnish their image because everybody know say everyday for d thief, one day for d owner.

server34:

The media can say watever they want. . . . Its really not dat bad. . . DPR officials have an idea. They have an imprecise but really close figure. Oil companies submit the well performance reports to DPR every quarter. Even if the DPR officials may not actually use a flow meter to measure daily production and export. . . they can agree with the report sent by[b] those companies under corporate transparency acts. .[/b] . and the multinational companies wouldn't wanna tarnish their image because everybody know say everyday for d thief, one day for d owner.

I wish all this were true but unfortunately this is Nigeria.  If you can, hire a helicopter and fly towards the swamps of the Nigeria  what you see will shock you.  1. You will see barges loading illegal crude oil and not a single security force doing anything.

I will try find the  you tube clip.

server34:

The media can say watever they want. . . . Its really not dat bad. . . DPR officials have an idea. They have an imprecise but really close figure.

How 'close' is this figure - if it is ONLY 20,000 barrels a day short, that is equivalent to $1m a day or $365m a year - for a POOR country like Nigeria can you imagine how much that could do??

Oil companies submit the well performance reports to DPR every quarter. Even if the DPR officials may not actually use a flow meter to measure daily production and export

So they are simply a filing cabinet who accept whatever the oil companies spit out? For the PRIMARY income earner in Nigeria, this is UNACCEPTABLE.

. . . they can agree with the report sent by those companies under corporate transparency acts. . . and the multinational companies wouldn't wanna tarnish their image because everybody know say everyday for d thief, one day for d owner.

Are you a joker? Shell had been overestimating it's reserves for years and got away with it - even though they revised later on, how do you know they were not padding their exports as well?

Forget this 'image tarnishing' nonsense - Ships can load more than is officially recorded, get to the high seas and discharge part of the crude to another vessel who sells it and kicks back the funds to the individuals involved in the deal. It is immaterial to me whether the IOC's or small groups are responsible for stealing the oil - the fact is, we are incapable of properly quantifying our primary income earner.

In the words of one of the posters we are no better than akara sellers who don't know how many akaras they sold in a day.

Alright, so what's the way forward?

DPR should carry out well performance tests for the IOCs?

debosky:



In the words of one of the posters we are no better than akara sellers who don't know how many akaras they sold in a day.

Heavy and Deep Comment - It very sad that Nigeria has been reduced to this - Can you imagine if the U.k had as more oil and gas as we have in Nigeria. They will be light years ahead.

aNYBODY here knows how an akara seller keeps records on how much akara is sold in a day.

ono:

Alright, so what's the way forward?

DPR should carry out well performance tests for the IOCs?

You don't need well performance tests.

You need RIGOROUS metering and inspection capability at the Terminals first and foremost. Continuous inspections, spot checks, audits, quality assurance. Increase the penalties to include license suspensions whenever spurious lifting figures are discovered.

DPR lacks the technical capability to properly monitor these IOCs - We need to know conclusively how much was shipped when and where, by people who know what the technology out there is, who can query inspection/calibration results with confidence and have the legal backing to shut down these guys if they are cheating.

In addition, a coastguard or improved naval patrols to prevent the nefarious loading/discharging taking place just off our coast - make it extremely difficult for anyone who succeeds in stealing crude from the pipelines to sell or get it out of the country.

debosky:

You don't need well performance tests.

You need RIGOROUS metering and inspection capability at the Terminals first and foremost. Continuous inspections, spot checks, audits, quality assurance. Increase the penalties to include license suspensions whenever spurious lifting figures are discovered.

DPR lacks the technical capability to properly monitor these IOCs - We need to know conclusively how much was shipped when and where, by people who know what the technology out there is, who can query inspection/calibration results with confidence and have the legal backing to shut down these guys if they are cheating.

In addition, a coastguard or improved naval patrols to prevent the nefarious loading/discharging taking place just off our coast - make it extremely difficult for anyone who succeeds in stealing crude from the pipelines to sell or get it out of the country.

Kudos

The parallel governments that operate in the Niger Delta are well equipped, owning fleets of aircraft and fuel-smuggling barges. They consist of a motley crew of the usual suspects - retired, serving or discharged military personnel, local oil-theft gangs who co-mingle with separatist rebel irregulars in the creeks, and the footsoldiers of high ranking political figures both current and past, all of who tap pressurized petroleum pipelines to remove and export a quarter of the daily content flowing through those pipes, via flotillas of mini-tanker ships holding position just off the horizon in international waters.

Where all that wealth winds up is anyone's guess, but one thing is for sure, no money ever seems to stay long enough to do any good to the civilian stakeholders of the Niger Delta, who continue to live and die on the front line in their front yards, either by violence among the oil pipeline prosepecting gangs, or by the slow death of oil spillage pollution.

Jakumo:

The parallel governments that operate in the Niger Delta are well equipped, owning fleets of aircraft and fuel-smuggling barges.  They consist of a motley crew of the usual suspects -  retired, serving or discharged military personnel, local oil-theft gangs who co-mingle with separatist rebel irregulars in the creeks, and the footsoldiers of high ranking political figures both current and past, all of who tap pressurized petroleum pipelines to remove and export a quarter of the daily content flowing through those pipes, via flotillas of mini-tanker ships holding position just off the horizon in international waters.

Where all that wealth winds up is anyone's guess, but one thing is for sure, no money ever seems to stay long enough to do any good to the civilian stakeholders of the Niger Delta, who continue to live and die on the front line in their front yards, either by violence among the oil pipeline prosepecting gangs,  or by the slow death of oil spillage pollution.

Nicely written Jakumo. . .Its a sad situation. Blaming it on the DPR and NNPC alone is not d answer. No matter how accurately they can regulate the multinationals. . . we still loose billions as a result of . . . "as highlighted in bold above".