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Oil Theft: Avuru Seeks National Emergency On Oil Sector
Former chief executive officer of Seplat Energy Plc, Austin Avuru, has said that 80percent of Nigeria’s oil production was lost to oil theft.
This is coming amid an assertion by the Chairman of the United Bank for Africa (UBA) Plc, Tony Elumelu, that Nigeria was “losing over 95percent of oil production to thieves”.
Avuru, in a report titled, “Reining in the Collapse of the Nigerian Oil Industry” published by the Africa Oil+Gas Report, called for a state of emergency in the Nigerian oil and gas sector.
He urged regulators and the Nigerian National Petroleum Company (NNPC) to set up a “war room” strategy to develop a plan to return the oil sector to “full bloom.
“With eyes fixed on divestments and exit, the IOCs have not made any meaningful investments in the last 15 years,” he said.
“The result has not just been declining production. Much worse, the entire export pipeline network has been surrendered to vandals and illegal bunkerers. Thus, the phrase “crude theft” which crept into the industry about 2010 has taken on a new meaning.
“There are some pipeline systems now (particularly in the East), where 80percent of production injected therein does not make it to the terminal!”
According to him, almost every producer is now cooking up “alternative evacuation” schemes that cost four to five times what pipeline export would normally cost!
“The stark reality today is that the IOCs are leaving. Their decision to leave is outside our control as a nation. In fact, over the last 12 years, Shell and Chevron have divested from a total of 21 blocks. It is now public knowledge that Shell and ExxonMobil are now exiting the onshore/shallow water altogether,” he said.
“In fact, my projection is that, by Christmas day of 2025, Total would be the only IOC in JV with NNPC.
“The situation is the same with domestic gas delivery. Even though we are weaving all the right slogans about the future of gas in Nigeria, in the past five years, I can only point at a couple of Nigerian independents who are investing in gas development and processing for the domestic market.
“The state of the NNPC Towers in Abuja, headquarters of the Nigerian oil industry: Just standing back and intervening by pre-emptive acquisitions cannot be a sustainable solution to the question of retreating IOCs Nigerian Petroleum Industry is a national emergency. Oil production is down to about 1.4million barrels per day and declining and this includes about 600,000BOPD from the deep-water.
“Domestic gas production has stagnated at about 1.2billion cubic feet (Bcf) per day over the past five years at a time when projected production should have been 3.5Bcf per day. The collateral impact of course, is the low level of power generation which itself has stagnated at about 4,000megawatts per day since 2015.”
Avuru added that the full impact of the current oil production level can only be imagined when oil prices return to the $60 per barrel level.
“I dare repeat that the situation has to be treated as a national emergency,” he said.
“Between the upstream regulator (the commission) and NNPC, they need to set up a ‘war room’, some form of an effective task force to develop a blueprint for returning the industry to full bloom. The responses we hear today to the myriad of problems outlined above have been ad-hoc, knee jerk and in some cases only self-serving.”
Avuru outlined some issues that must be addressed in the oil and gas sector.
“When IOCs leave a matured petroleum patch, independents, whether local or international, usually move in to inject fresh capital, run a nimble efficient operation and maximize production and reserves addition,” he added.
“A well-organised transition driven by a clear policy direction, from the retreating IOCs to a crop of efficient independents with the requisite resources will have to be implemented.
“Just standing back and intervening by pre-emptive acquisitions cannot be a sustainable solution proffered by NNPC.
“There has to be a deliberate policy-driven return to the traditional onshore/shallow water terrains. 80percent of our remaining reserves are still in this belt.
“To do this, we have to address the twin problems of reliable pipeline evacuation and community restiveness. These problems have become heightened, not because there is no solution, but because we have abandoned every attention to them in the last 15 years.
“When these two problems are tackled, plus a strict application of the ‘drill or drop’ provisions of the new PIA, huge investments in drilling and facilities revamp will flow again into this terrain.
“Finally, we have to match our gas slogans with effective, measurable, policy actions to drive investments in domestic gas supply. The current flip-flops on pricing and commercial structure of the gas business cannot stimulate investments in the sector.
“This industry will not wake up by God’s miracle. We have to wake up and design the stimulant that will revitalise it.”
The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) had said the country loses more than 115,000 barrels per day to oil theft and vandalism.
Oil producers in Nigeria lamented oil thieves are raking in ‘petrodollars’ while Nigeria is bedevilled by low production.
In February, Nigeria’s oil production had dropped to an average of 1.25million barrels per day (bpd) from 1.39million the previous month.
News
Victory Over Insurgency Certain, Tinubu Assures
President Bola Tinubu has expressed confidence that the country would win the fight against insecurity.
The President gave the assurance at the Argungu International Fishing Festival in Argungu town, Kebbi State, on Saturday.
He noted that the relative peace currently being enjoyed in Kebbi and neighbouring states was the result of sustained investments in security intelligence, coordination among security agencies, and community engagement.
Tinubu assured farmers and fishermen of sustained federal support to guarantee food security and safety across the country.
“The peace we are witnessing today is not accidental. It is the outcome of deliberate and sustained efforts. I assure you that the fight against banditry, insurgency, and insecurity will be won.
“Our farmers, fishermen, traders, and families will go about their lawful activities without fear,” he assured.
The President commended the organisers of the festival for sustaining the cultural event for decades, noting that it had endured for 83 years despite social and security challenges.
Describing the Argungu festival as a powerful symbol of unity, resilience, and peaceful coexistence, Tinubu stated that it reflects the richness of the country’s culture and the opportunities to harness its natural and human resources for national growth.
He said, “Today, this festival stands as a powerful symbol of unity, resilience, and peaceful coexistence among our people.
“It reflects the richness of our culture, the strength of our traditions, and the opportunities inherent in harnessing our natural and human resources for national development.”
The President was received by a large crowd of residents, traditional rulers, fishermen, tourists, and government officials from across the country.
The President reaffirmed his administration’s commitment to youth and women empowerment, irrigation development, rural electrification, and agricultural productivity.
Earlier, the Kebbi State Governor, Nasir Idris, said his administration was determined to elevate the Argungu Fishing Festival to full international standards while pursuing aggressive development across critical sectors of the state.
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US Embassy, Lagos Consulate Close Today For President’s Day
The United States Embassy in Abuja and the Consulate General in Lagos will be closed today, in observance of Presidents’ Day.
The mission made this known in a notice shared on its official X page, yesterday.
“The U.S. Embassy in Abuja and the Consulate General in Lagos will be closed on Monday, February 16, 2026, in observance of Presidents’ Day,” the post read.
According to the embassy, Presidents’ Day was originally established to honour the birthday of the former US President, George Washington, but has evolved into a day to celebrate all U.S. presidents and their leadership in shaping the country’s history.
The embassy noted that the holiday also recognises the influence of U.S. presidents on global affairs.
In a related message, the mission highlighted that Washington created the first “Badge of Military Merit,” which later became the Purple Heart. The medal still bears Washington’s image today.
Presidents’ Day is observed on the third Monday of February annually in the United States as a federal holiday.
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Guterres Backs Nigeria’s Bid For UN Security Council Seat …Hails Tinubu’s Reforms, Regional Security Role
United Nations Secretary-General, António Guterres, has charged Nigeria with spearheading Africa’s quest for a restructured global order, describing the country as uniquely positioned to lead the continent toward superpower status.
Guterres, who backed Nigeria’s bid for the world body’s security council seat, also praised the economic reforms of the President Bola Tinubu-led administration as well as Nigeria’s leadership in stabilising the Sahel and ECOWAS regions, despite facing its own security challenges.
The UN scribe made the remarks last Friday night during a high-level bilateral meeting with Vice President Kashim Shettima on the sidelines of the 39th African Union (AU) Summit in Addis Ababa, Ethiopia.
Speaking during the meeting, Guterres said Nigeria’s large population, sustained democratic governance, vast natural and human resources, and longstanding commitment to multilateralism placed it in a unique position to lead Africa in the evolving global order.
“Given Nigeria’s demographic strength, democratic continuity and deep resource base, the country stands a real chance of leading Africa to becoming the next superpower in the evolving global architecture,” he said.
The UN Secretary-General and the vice president discussed key developments in Nigeria and the country’s expanding leadership role in promoting regional stability across West Africa and the Sahel.
Guterres commended the remarkable and outstanding reforms of the administration of President Tinubu, noting that Nigeria’s bold economic restructuring and security commitments have strengthened its continental standing.
The meeting focused on strengthening Nigeria–UN collaboration to advance global economic growth, peace and security, sustainable development, and a coordinated humanitarian response across Africa.
In his remarks, Shettima thanked the UN Secretary-General for his leadership in advancing global peace, noting that Africa has benefited immensely from his tenure, even as the United Nations undergoes internal restructuring.
“We remain committed to multilateralism and to deepening our partnerships with the United Nations and other global institutions,” the vice president said.
Shettima also reiterated Nigeria’s longstanding call for comprehensive reform of the United Nations system to reflect evolving global realities.
He emphasised that Africa must have stronger representation in global decision-making structures and declared that Nigeria deserves a permanent seat on the United Nations Security Council.
Both leaders pledged to deepen cooperation, with Guterres reaffirming the UN’s support for Nigeria’s reform agenda and its growing leadership role in advancing peace, security, and development across Africa.
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