• 3 minutes e-car sales collapse
  • 6 minutes America Is Exceptional in Its Political Divide
  • 11 minutes Perovskites, a ‘dirt cheap’ alternative to silicon, just got a lot more efficient
  • 10 hours GREEN NEW DEAL = BLIZZARD OF LIES
  • 1 day The United States produced more crude oil than any nation, at any time.
  • 7 days e-truck insanity
  • 2 days How Far Have We Really Gotten With Alternative Energy
  • 6 days Oil Stocks, Market Direction, Bitcoin, Minerals, Gold, Silver - Technical Trading <--- Chris Vermeulen & Gareth Soloway weigh in
  • 5 days James Corbett Interviews Irina Slav of OILPRICE.COM - "Burn, Hollywood, Burn!" - The Corbett Report
  • 5 days The European Union is exceptional in its political divide. Examples are apparent in Hungary, Slovakia, Sweden, Netherlands, Belarus, Ireland, etc.
  • 7 days Biden's $2 trillion Plan for Insfrastructure and Jobs
  • 7 days "What’s In Store For Europe In 2023?" By the CIA (aka RFE/RL as a ruse to deceive readers)
  • 10 days Bankruptcy in the Industry
Bullish Sentiment Has Taken Hold of Oil Markets

Bullish Sentiment Has Taken Hold of Oil Markets

Oil prices surged above $90…

High Interest Rates Are Crushing Renewable Energy Projects

High Interest Rates Are Crushing Renewable Energy Projects

The renewable energy sector faces…

Nigerian Oil Pipeline Runs Dry As Rampant Oil Theft Plagues Country

A 180,000-bpd pipeline in Nigeria hasn’t transported any crude across Africa’s top oil producer since the middle of June due to oil theft, a source with knowledge of the matter told Bloomberg on Wednesday.

OPEC member Nigeria has been suffering for years of rampant oil theft from pipelines which has often forced operators to shut down crude links for repairs and even declare force majeure on crude loadings because oil couldn’t reach terminals on time.

The pipeline targeted in the latest oil theft, Trans-Niger Pipeline, has not been formally shut yet, Bloomberg’s source said on condition of anonymity because they were sharing information that has not been made public yet.

Per Bloomberg’s estimates, the Trans-Niger Pipeline, with its capacity of transporting 180,000 barrels per day (bpd), accounts for around 15% of Nigeria’s latest daily average oil production. 

Oil theft has been a never-ending issue in Nigeria’s oil industry for years, crippling supply and production and making international majors warier of investing in production assets in Nigeria’s onshore.

A lack of investment and capacity has prevented Nigeria from reaching its target production under the OPEC+ agreement for more than a year. Nigeria has been the biggest laggard in the production pact for several months. As of June, Nigeria was already pumping 500,000 bpd below its OPEC+ target. Nigerian crude oil production averaged 1.238 million bpd last month, according to OPEC’s latest Monthly Oil Market Report (MOMR), while Nigeria’s June quota was 1.772 million bpd.  

Unlike other crude oil producers, Nigeria has not been able to take advantage of the multi-year high oil prices this year. Nigerian oil revenues have come in 61% below target for the first four months of 2022. That’s despite crude oil trading at highs not seen in years. Nigeria continues to battle oil theft, pipeline vandalism, and most critically, high gasoline prices, which the country subsidizes.

By Charles Kennedy for Oilprice.com

ADVERTISEMENT

More Top Reads From Oilprice.com:



Join the discussion | Back to homepage



Leave a comment

Leave a comment

EXXON Mobil -0.35
Open57.81 Trading Vol.6.96M Previous Vol.241.7B
BUY 57.15
Sell 57.00
Oilprice - The No. 1 Source for Oil & Energy News