Louisiana Light • 2 days | 90.61 | -0.79 | -0.86% | |||
Bonny Light • 1 day | 95.18 | +0.63 | +0.67% | |||
Opec Basket • 2 days | 95.31 | -0.42 | -0.44% | |||
Mars US • 14 hours | 89.29 | +0.91 | +1.03% | |||
Gasoline • 19 mins | 2.587 | +0.025 | +0.96% |
Bonny Light • 1 day | 95.18 | +0.63 | +0.67% | |||
Girassol • 1 day | 96.58 | +0.66 | +0.69% | |||
Opec Basket • 2 days | 95.31 | -0.42 | -0.44% |
Peace Sour • 5 hours | 84.89 | +0.71 | +0.84% | |||
Light Sour Blend • 5 hours | 85.39 | +0.71 | +0.84% | |||
Syncrude Sweet Premium • 5 hours | 93.99 | +0.71 | +0.76% | |||
Central Alberta • 5 hours | 84.89 | +0.71 | +0.84% |
Eagle Ford • 2 days | 86.16 | -0.35 | -0.40% | |||
Oklahoma Sweet • 2 days | 86.25 | -0.25 | -0.29% | |||
Kansas Common • 1 day | 80.75 | +0.75 | +0.94% | |||
Buena Vista • 2 days | 95.63 | -0.10 | -0.10% |
Uncertainty caused by the transition…
Ninepoint Energy Fund’s Eric Nuttall…
Many oil fields are situated in countries where poverty and crime are large problems. The locals see the oil as an opportunity to gain a bit of wealth and theft is common.
Nigeria is Africa’s largest producer of crude oil, and oil is one of the largest revenue creators in the country, however oil companies must constantly battle with thieves in the production and transport of oil in the region. At least 150,000 barrels of oil are stolen, causing higher production costs, and therefore lower revenues, and also risking major environmental disasters as the thieves often break pipes in order to loot the oil, regardless of the resulting oil spill that forms.
Shell is the largest producer of Nigerian oil, and yesterday reported two leaks on its trans Niger Pipeline in the Rivers state, which it suspects were caused by thieves cutting the pipes with hacksaws.
On the 4th of May it had to delay shipments of oil due to the theft of oil from its Nembe Creek Trunk pipeline. It had to stop the transport of 60,000 barrels a day whilst the line was repaired.
In this constant battle against the thieves Nigerian troops arrested two tankers full with crude that they suspect was stolen from coastal fields in Degema in the southern Rivers state. Brigadier General Tukur Buratai, commander of the joint military task force in charge of security in the oil region, said that the troops seized the tankers Oxo and Ani, which were carrying more than 1.8 million barrels of crude.
“Operatives of the joint military task force arrested the suspects ( a 26 man crew of Ghanaians and Nigerians) at Awoba (a coastal town in Rivers state),” he said.
By. Charles Kennedy of Oilprice.com
The materials provided on this Web site are for informational and educational purposes only and are not intended to provide tax, legal, or investment advice.
Nothing contained on the Web site shall be considered a recommendation, solicitation, or offer to buy or sell a security to any person in any jurisdiction.
Trading and investing carries a high risk of losing money rapidly due to leverage. Individuals should consider whether they can afford the risks associated to trading.
74-89% of retail investor accounts lose money. Any trading and execution of orders mentioned on this website is carried out by and through OPCMarkets.
Merchant of Record: A Media Solutions trading as Oilprice.com
For more info, you can have a look at http://www.unep.org/nigeria/