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Checking Crude Oil Theft

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The Kimberley Process Certification Scheme (simply known as the Kimberley Process or KP) is the outcome of a vigorous campaign launched in 1998 by an international Non-Governmental Organisation, Global Witness, to expose the role of rough diamonds in funding conflicts, especially in Africa.

Following several violations of the sanctions imposed under the United Nations Security Council Resolution 1173 against Jonas Savimbi’s National Union for the Total Independence of Angola (UNITA), Global Witness, in concert with a few other powerful NGOs, was able to pressure diamond-producing countries in the Southern African region into holding a conference in Kimberley, South Africa, in May 2000 to discuss the issue of conflict diamonds.

Coming at the time it did, the deliberations may have also factored in the role of such precious stones in fuelling the fratricidal wars in Liberia and Sierra Leone during which many innocent citizens lost their lives and several others were maimed and abused, all on account of who controlled the huge diamond resources of the two West African neighbours.

After about three years of heated debates and negotiations, the Kimberley convention drafted an international diamond certification scheme which was endorsed and launched as the Kimberley Process by the United Nations in January 2003.

The scheme simply requires a certification of the origin of rough diamonds by participating governments as a way of preventing conflict diamonds from entering the international supply chain. Countries that produce, trade or process uncut diamonds are encouraged to join. They are expected to enact their own laws on how best to implement the scheme while also ensuring that they trade such merchandise with fellow members only.

Although the process has not brought about a complete halt to transactions in conflict diamonds, certainly not with Cote d’Ivoire, Zimbabwe and Venezuela showing little commitment, it has, nevertheless, dealt a significant blow to the flow of such bloody merchandise from conflict zones into the international diamond market. What’s more, it has also helped some of the countries that were, hitherto, hit by diamond-fuelled conflicts to earn more revenue from their official exports of the precious stone.

Nigeria may not be a member of the Kimberley scheme. She is not even a major producer, trader or processor of rough diamonds. Nor is she at war with any rebel group known to be benefitting from such illicit trade. But the country seems to be at war with a different kind of rebels. Crude oil thieves, that is. And in spite of whatever her fighting strategies, she surely needs the type of export-import certification process that Kimberley proposes.

According to Mutiu Sunmonu, managing director of Shell Petroleum Development Company of Nigeria (SPDC), Nigeria loses $5 billion (about N800 billion) annually to illegal oil bunkering in the coastal region of the country.

Speaking at a recent public hearing on oil bunkering organised by the House of Representatives Joint Committee on Petroleum Resources (Upstream) and the Navy, the oil-company chief advised government to form alliances in order to fight the menace which has now gone international.

The United States has also lent its voice in condemning the extent of crude oil theft and environmental degradation in the Niger Delta.

Speaking during the just-concluded US-Nigeria Bi-National Conference in Port Harcourt, the Deputy Assistant Secretary of State for African Affairs, Ms. Cynthia Akuetteh, attributed the rising thievery to low levels of employment and educational opportunities.

The American official was probably referring to the aspect of this robbery that is carried out by a few jobless and highly agitated Niger Delta youths. But it is already common knowledge that there exist some powerful and well-connected syndicates comprising foreign oil firms, top government officials, security operatives and shipping agents which connive with international oil buyers to defraud the nation, often using forged documents. For instance, the Joint Military Task Force (Operation Pulo Shield) raised to protect oil facilities (rather than people) in the region, has recorded several successes at arresting crude oil thieves and local refiners, even as some of its men have also been fingered as being collaborators.

Analysts have recommended that government address the wanton corruption in the petroleum sector through establishing a tougher regulatory framework. And, in addition, there have also been suggestions for the approval of a 10 per cent stake to oil communities, including the checking of pipeline vandalism and illegal refineries through community policing.

Late President Umaru Yar’Adua once likened illegal oil bunkering in the Niger Delta to the trade in blood diamonds during the civil wars in Liberia and Sierra Leone. He was reported to have called for international assistance to help Nigeria stop the trade in what he termed ‘blood oil’.

Indeed, Nigeria needs a coordinated international assistance to tackle this menace, but she has to initiate the move. OPEC is a ready-made platform. And with a clearer US position on the matter, drawing from the Kimberley experience will not be a bad idea, after all.

 

Ibelema Jumbo

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FG Begins South-West Tour To Promote New Cooperative Bank

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The Federal Government has launched the South-West zonal engagement and ministerial advocacy tour on the Cooperative Bank of Nigeria share capital mobilisation, sensitisation and cooperative sector digitalisation.
 Reports say the initiative was launched through the Federal Ministry of Agriculture and Food Security.
According to reports, the advocacy tour, organised by the ministry’s Federal Department of Cooperatives, began on Monday in Lagos.
Speaking at the event, the Minister of State for Agriculture and Food Security and Supervising Minister of Cooperative Affairs, Dr Aliyu Abdullahi, said the initiative was part of President Bola Ahmed Tinubu’s Renewed Hope Agenda.
Abdullahi described the exercise as a strategic effort to reposition the cooperative sector as a key driver of inclusive economic growth, financial inclusion, enterprise development, food security and national prosperity.
“Today represents a defining moment in our collective determination to reposition the cooperative sector as a major driver of inclusive economic growth, financial inclusion, enterprise development, food security and national prosperity,” he said.
The minister noted  the modern cooperative movement in Nigeria originated in the South-West following the 1934 Strickland Report, which led to the enactment of the Cooperative Societies Ordinance of 1935.
According to him, the decision to commence the sensitisation and share capital mobilisation tour in the region is symbolic, as it marks a return to the roots of cooperative development in the country.
Abdullahi said the advocacy tour was a direct outcome of resolutions reached at the 8th Regular Meeting of the National Council on Cooperative Affairs held in Abuja in March 2026.
He said the council approved the Renewed Hope Cooperative Reform and Revamp Programme, a comprehensive framework designed to strengthen the cooperative sector and align it with the administration’s goal of building a one-trillion-dollar economy.
“The reform programme focuses on seven strategic pillars, including governance reforms, cooperative financing and the establishment of the Cooperative Bank of Nigeria, digitalisation, capacity building, value chain development, inclusion of youths, women and persons with disabilities, and strategic partnerships,” he said.
He said the establishment of the Cooperative Bank of Nigeria and the digitalisation of the cooperative sector were the two major transformational initiatives under the programme.
“The Cooperative Bank of Nigeria is aimed at rebuilding a strong cooperative financial system capable of supporting cooperators, farmers, artisans, traders, SMEs, youths, women and persons with disabilities with accessible and affordable financial services,” he said.
Abdullahi emphasised that the proposed bank would be government-enabled but not government-funded.
“Government is not establishing the bank as an owner, nor will it rely on Treasury Single Account funds.
“The role of government through the FMAFS is to provide policy support, stakeholder coordination, regulatory facilitation and an enabling environment under the Renewed Hope Cooperative Reform and Revamp Programme,” he said.
Also speaking, the Lagos State Commissioner for Commerce, Cooperatives, Trade and Investment, Mrs Folashade Ambrose-Medebem, reaffirmed the state government’s commitment to cooperative sector transformation.
She described cooperatives as critical tools for promoting inclusive growth, grassroots productivity, food security, financial inclusion and community wealth creation.
Ambrose-Medebem said Lagos State would continue to support reforms and collaborate with stakeholders to ensure the successful implementation of the Renewed Hope Cooperative Reform and Revamp Programme (2025–2030).
“Together, let us build a cooperative ecosystem that is modern, transparent, digitally enabled, financially inclusive and globally competitive.
“Let us build cooperatives that not only mobilise savings, but also mobilise prosperity,” she said.
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Customs Impound N2.35bn Cocaine, 15 Trailers of Rice

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The Nigeria Customs Service (NCS), Federal Operations Unit (FOU) Zone ‘A’, Ikeja, has impound Cocaine Substance valued at ?2.35 billion alongside 15 trailer-loads of foreign rice and a wide range of contraband across the South-West.
This was disclosed to Newsmen during a press briefing in Lagos by Controller of the Unit, Comptroller Gambo Aliyu,
Aliyu revealed that the seizures were made over an eight-week period, underscoring intensified enforcement efforts.
According to him, operatives foiled 473 smuggling attempts within the period, leading to the confiscation of 8,794 bags of 50kg foreign rice, 22 used vehicles, 328 bales of used clothing, and 31,705 litres of Premium Motor Spirit (PMS).
He said other seized items include a Mercedes-Benz vehicle and various food products such as poultry, vegetable oil, spaghetti, and sugar.
Aliyu clarified that the rice displayed at the briefing represented cumulative interceptions made at different locations and times across the zone.
“All the rice you see here are accumulative of seizures carried out at different places, at different times, and through different interdictions,”
Beyond the economic implications, the Comptroller emphasized the social cost of drug trafficking, warning that narcotics continue to destroy families and fuel criminal activities.
“It may surprise you to know that many homes are broken due to drugs.
” Our mandate is to cut off the supply chain, and that is exactly what we are doing,”.
Similarly Customs operatives at the Gbaji outpost intercepted a 71 year-old suspect along the Lagos-Abidjan corridor with 6.35kg of cocaine concealed in a Toyota Highlander.
The drugs, comprising both powdered and crystalline forms, were valued at ?2.35 billion.
Under a special enforcement drive, codenamed “Operation Hawk,” the unit also seized 3,340 parcels of synthetic cannabis, popularly known as “Ghanaian loud,” weighing 1,540kg.
 The substances, along with three suspects, have been handed over to the National Drug Law Enforcement Agency (NDLEA) for further investigation and prosecution.
In a related operation, officers intercepted four cylinders of mercury hidden in a vehicle along the same corridor. Aliyu described the substance as hazardous and subject to international regulation.
Overall, the Duty Paid Value (DPV) of the seizures stands at approximately ?5.5 billion, reflecting the scale of enforcement activities.
 Additionally, the unit recovered ?97.7 million through Demand Notices issued on under-declared consignments.
Aliyu reaffirmed the Service’s commitment to deploying modern technology—including geospatial intelligence, drone surveillance, and real-time tracking—to strengthen border security and clamp down on smuggling networks.
CHINEDU WOSU
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Dangote,  Nicolai Tangen To Partner In strategic sectors

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Chief Executive Officer of Norges Bank Investment Management, Nicolai Tangen ( manager of the world’s largest sovereign wealth fund) has expressed interest in partnering with Dangote Group to expand investments across Africa, particularly in strategic sectors such as power, energy, renewable energy, agriculture, fertiliser and cement.
This was made known during a meeting of Chief Executive of Dangote Group, Aliko Dangote  with Nicolai Tangen, the manager of Norwegian investment institution (with assets estimated at about $1.9 trillion) .
Also present at the meeting were Svein Tore Holsether, Chief Executive Officer of Yara International, and Terje Pilskog, Chief Executive Officer of Scatec, a global renewable energy company.
The engagement reflects growing international investor confidence in Africa’s industrial and infrastructure potential, as well as the increasing role of indigenous conglomerates such as Dangote Group in driving large-scale economic transformation across the continent.
Industry observers say the proposed collaboration could create significant opportunities for investments in critical sectors linked to energy transition, food security, industrialisation and infrastructure development.
The Norwegian sovereign wealth fund, regarded as one of the world’s leading institutional investors, has in recent years increased its focus on emerging markets, with Africa seen as a major frontier for long-term investment and value creation.
Analysts believe a partnership between Norges Bank Investment Management and Dangote Group could unlock substantial capital flows into infrastructure and industrial projects across Africa, helping to accelerate economic growth and regional integration.
Nkpemenyie Mcdominic, Lagos
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