AKINWALE ABOLUWADE
Industry experts have warned that Nigeria is losing billions of dollars daily to crude oil theft, vandalism, and wastage, stressing the urgent need for digitalisation of oil production and monitoring systems to protect the economy.
In a joint paper presented at a leadership forum in Houston, U.S., petroleum engineer at Nigerian Agip Oil Company, Charles Deigh, and mechanical engineer and researcher, Dr. Oluwatoyin Gbadeyan, described the country’s current oil validation process as “outdated and opaque,” leaving wide loopholes for theft and inefficiency.
They argued that every barrel of oil should translate to national prosperity, but sabotage, poor accountability, and environmental damage continue to erode government revenues and development efforts.
“This is not just unfortunate; it is unacceptable. Nigeria cannot afford to let another barrel go to waste. We need bold, transformative action,” they declared.
Oil theft, spills, and wastage have long raised both economic and health concerns.
According to the United Nations, at least 13 million barrels or 1.5 million tonnes of crude oil have been spilled in Nigeria since 1958, across more than 7,000 incidents.
While global reports often blame oil corporations, the Federal Government has pointed to international and regional criminal networks exploiting security lapses to drive large-scale oil theft.
Group Chief Executive Officer of the Nigerian National Petroleum Company Limited (NNPCL), Bashir Ojulari, recently described the crime as a “sophisticated operation” requiring cross-border collaboration to combat effectively.
The experts urged the deployment of advanced digital technologies to stem the estimated 200,000 barrels lost daily, restore investor confidence, and promote transparency across the oil sector.
They further called on oil companies to invest in durable monitoring systems and on host communities to embrace accountability, warning that failure to act decisively would leave the country trapped in recurring revenue losses.
