$17bn Undeclared Crude: Mobil, Chevron, Others Ignore House C’tee Summons

MEMBERS OF HOUSE OF REPRESENTATIVES AT A SPECIAL SITTING TO MARK END OF THE 2ND YEAR OF THE 7TH ASSEMBLY IN ABUJA ON THURSDAY (6/6/13).

• C’tee issues 2 weeks ultimatum

As the House of Representatives opens investigations into the $17 billion stolen through undeclared crude oil and liquefied natural gas exports to global destinations between 2011 and 2014, International Oil Companies (IOCs) such as Mobil Producing Nigeria, Chevron Petroleum and Esso Exploration and Production Nigeria, and seven others, have continued to ignore the request to submit memorandum on their involvement.

THISDAY gathered that the ad hoc committee set up by the House, sent letters to the IOCs six weeks ago.

Other IOCs that have shunned the request of the committee,  include Exxon Mobil, Star Deep Water Petroleum Ltd, Brass Oil Services Company Nigeria Ltd, Supreme Jute and Knitex Ltd, Consolidated Oil Ltd, and Duke Oil Company Ltd.

Also, the Nigerian Maritime Administration and Safety Agency (NIMASA), the National Petroleum Investment Management Services (NAPIMS) and the Nigerian Ports Authority (NPA) in addition to six other government agencies have failed to respond to the ad hoc committee, over a month after they were issued summons.

The Chairman of the committee, Hon. Abdulrazak Namdas, while speaking with THISDAY, said a two-week ultimatum had been issued to all the 19 IOCs and 11 government agencies to submit all required documentations.

“Some of them who responded like the Central Bank of Nigeria (CBN), the Nigerian National Petroleum Corporation (NNPC), and the Nigeria Liquefied Natural Gas (NLNG) asked for more time to submit memorandum, but we are giving a two-week grace, to everybody. The committee has to start its work,” he said.

Namdas, who is also spokesperson of the House, added that the committee would not hesitate to take ‘appropriate actions’ against any IOC or agency which ignores its summons.

“If all revenue from crude oil exports lost due to the activities of those engaged in illegal export and sale of Nigeria crude oil are recovered from the identified buyers, it will go a long way to support development goals of the government of Nigeria,” Namdas said.

A report commissioned by former President Goodluck Jonathan, titled: ‘Recovery of Shortfalls from Undeclared Nigeria Crude Oil Exports to Global Destinations: Shortfall Report for Shipment to the United States of America, January 2011- December 2014,’ revealed that the country lost at least $17 billion to undeclared crude.

Ascertained by buyers, bill of lading, arrival dates, destination ports, quantity of crude oil and other documented information from the NNPC and the CBN, the report showed undeclared crude oil shortfalls of 57,830,000 MT of Nigeria’a crude oil, translating to well over $12 billion to the USA, also over $3billion to China, and $839,522,600 to Norway.