The Trans-Niger Pipeline, a major pipeline capable of transporting about 180,000 barrels of crude per day, has been moribund since mid-June due to theft.
According to a report by Bloomberg on Wednesday, since the development, the pipeline is yet to be formally shut down by the authorities.
The report said the pipeline capacity is about 15 percent of Nigeria’s most recent average daily output.
Crude oil theft had taken a worrisome dimension in Nigeria with losses from pipeline vandalisation becoming even more overwhelming.
Nigeria’s Revenue To Dip Further As Trans-Niger Pipeline Runs Dry Over Oil Theft
In June, Gbenga Komolafe, chief executive officer, Nigerian Upstream Petroleum Regulatory Commission (NUPRC), said Nigeria lost at least $1 billion in the first quarter of 2022 due to oil theft.
According to him, an unusual level of theft estimated at a daily average of 103,000 barrels recorded in 2021, had grown to 120,000 barrels in the first quarter of 2022.
He also said the daily average production in 2021 stood at 1.5 million barrels while the national production advised by the commission was 2.2 million barrels.