NIGER Delta Avengers, NDA, yesterday, scuttled the
hope of early resolution of the current spate of
bombings in the Niger Delta, as it did not only
reject the window created for dialogue by the
Federal Government, but also blew up another
Chevron Nigeria Limited, CNL, crude oil pipeline in
Delta State.
hope of early resolution of the current spate of
bombings in the Niger Delta, as it did not only
reject the window created for dialogue by the
Federal Government, but also blew up another
Chevron Nigeria Limited, CNL, crude oil pipeline in
Delta State.
This came on a day indications emerged that
Nigeria’s crude oil export may drop further in the
days ahead, as major refineries across the globe
have concluded plans to stop purchase of crude oil
from Nigeria due to rising uncertainties about the
country meeting up with deliveries.
The latest attack came as a bombshell to the
governors of oil producing states, who met,
Tuesday, in Abuja with the Acting President,
Professor Yemi Osinbajo, service chiefs and other
functionaries on how to end pipeline attacks in the
troubled region.
Government had anounced a two-week ceasefire
on Monday to build confidence in the militants for
negotiation.
on Monday to build confidence in the militants for
negotiation.
Militants blow up another Chevron pipeline in Delta
But in a tweet that blatantly negated government’s
goodwill, the militant group said yesterday: “This is
to inform the general public that we are not
negotiating with any committee. If Federal
Government is discussing with any group, they’re
doing that on their own.
“At 1:00 a.m today (yesterday), the Niger Delta
Avengers blew up Well RMP 20 belonging to
Chevron, located 20 metres from Dibi flow station
in Warri North Local Government Area.”
A source familiar with the location told Vanguard, at
about 5.45 a.m., that the affected crude oil pipeline
is between Opia and Dagbolo villages in Warri
North
Confirming the latest attack, a security source said:
“Yes, there was an attack this (yesterday) morning
by militants on a Chevron facility.
“The pipeline had earlier been attacked by militants
using the same modus operandi, which is with the
use of dynamite.
The attack was carried out at about 1:00 a.m.”
According to the Chevron staff, who spoke on
condition of anonymity, the company will draft a
team of technicians to the spot to assess the extent
of damage.
A community source, who spoke to Vanguard
shortly after a joint team of CNL, soldiers and
private security outfit visited the bombed site, said
if the plan of the militants had succeeded, the
entire Dibi flow station, which had several crude oil
and gas components, would have been set ablaze.
At last Tuesday’s meeting in Abuja, the governors
allegedly made a compelling case for the Federal
Government to cease military operations in the
area, which was heating up the polity, and asked it
to find a middle ground with the militants, among
other things.
Foreign refineries to stop buying Nigeria’s crude
oil
The restive situation in the region may lead to a
further drop in crude oil export as major refineries
across the globe have concluded plans to stop the
purchase of the commodity from Nigeria due to
rising uncertainties about the country meeting up
with deliveries.
This is arising from the fact that a number of oil
companies in Nigeria had declared force majeure of
crude oil export, while a few others had been
forced to suspend or cut production as a result of
the bombing of oil facilities across the Niger Delta.
According to data obtained from Reuters, four of
Nigeria’s oil grades, including the largest stream,
Qua Iboe, have been under force majeure over the
last one month.
Force majeure is a legal clause that allows
companies to cancel or delay deliveries due to
unforeseen circumstances. The report stated that
despite the fact that ExxonMobil, which declared
force majeure on Qua Iboe in May due to an
accident, lifted the declaration last week, the
unpredictability is too much for some buyers.
The report further stated that refineries on the
United States’ east coast were beginning to turn
away from Nigerian crude oil, noting that these
same refineries had been on a buying spree for
Nigerian crude in recent months that averaged
240,000 barrels per day (bpd) in April and May. As
a result, the report said differentials to dated Brent
for Qua Iboe, Bonny Light and other grades were
under downward pressure, adding that there were
several unsold cargoes for June loading.
Accordin to the report, the reduced demand means
Nigeria is not benefiting as much as others from a
rebound in Brent crude prices at current rate of over
$51, which is partly driven by its own oil outages,
stating that the reluctance of the refineries to buy
Nigeria’s crude oil was limiting the prices Nigeria
could get for its oil, even as there was less of it.
Specifically, the report stated that India’s HPCL was
forced last month to cancel a vessel it chartered to
carry two million barrels of West African crude due
to the Qua Iboe force majeure, while India’s state-
run Indian Oil Corporation Limited, a major buyer of
Nigerian grades over the past year, had stated in
its recent tenders that it would not take grades
under force majeure, with Qua Iboe remaining off
the list of the company.
Indonesia’s Pertamina, another frequent buyer, the
report added, had also chosen not to buy Nigerian
grades in its recent tenders, favouring Congolese
Coco, Angolan Girassol and Saharan Blend from
Algeria instead.
The report quoted oil traders as saying that
Pertamina had shifted its preferences since the
violence and uncertainty escalated, while Senior
Vice President of the company, Daniel Purba, said
the company was monitoring Nigeria, but noted that
the situation was still currently not affecting crude
purchasing.
Commenting on the development, one oil trader on
the US east coast said: “When you plan your crude
run months in advance and commit buying cargo,
you need to be comfortable that the cargo will be
there when you go to lift.” Similarly, Elizabeth
Donnelley, Assistant Head of the Africa Programme
at Chatham House, said: “The nature of the recently
re-emerged militancy in the Niger Delta suggests it
is here to stay for the foreseeable future.”
Also speaking, Olivier Jakob, Managing Director of
PetroMatrix in Switzerland, said “not everybody
wants to be caught up in that, so they will avoid it.
The refineries will walk away from it.”
In a similar development, senior economist at
Japan Oil, Gas and Metals National Corp, Takayuki
Nogami, lamented, yesterday, that the recent fall in
the Japanese oil market was a result of supply
disruptions in Nigeria and Canada, following the
Niger Delta militant activities. Nogami, in a
statement, pointed out that the Japanese economy
was on the double at the first quarter and was slow
on consumer spending and weak exports which it
experienced lately.
According to the statement, a downturn in the US
crude inventories was noticed as the company
expressed concern over attacks on Nigeria’s oil
industry. Stakeholders ask militants to dialogue
However, Niger Delta activist, Ann Kio Briggs; Ijaw
community leader and Chief Favour Izuokumor
advised the militant group to embrace dialogue.
Militants should embrace dialogue , Ann Kio Briggs,
who hailed the two-week ceasefire in a chat with
Vanguard before Avengers discarded government’s
olive branch, said: “Definitely, it is good news in the
sense that in the search for some individuals, they
have gone into some communities, including their
return to Gbaramatu, despite claims that they had
earlier pulled out.
“Therefore, if truly the Federal Government is
sincere in what it has said and if the military would
obey the Federal Government, because that is
another thing, then, of course, it is welcome news.
“If you look at the whole bulk of the Niger Delta,
the people have suffered tremendously and you
cannot deny the fact that there are a lot of issues
on ground about the injustice that the people of the
region have suffered and this injustice must be
addressed. “
The only way to address them is to make sure that
the injustices are corrected and to do this, the
issues of fiscal federalism, ownership and the
people being able to develop themselves must be
addressed. “If I was the government, the discussion
should not be only with the Niger Delta, but should
also take this opportunity to reach out to the Middle
Belt and other regions who are agitating.” Buhari
has shown commitment —Izuokumor Activist and
Ijaw community leader, Chief Favour Izuokumor,
who also hailed the ceasefire, said it was a bold
commitment by President Buhari and urged the
militants to take advantage of the window to
dialogue. Advising government not to politicize the
talks, he stressed the need to invest in the
intelligence arm of the nation’s security network to
overcome current security challenges facing Nigeria,
particularly the resurgence of militancy in the Niger
Delta. Izuokumor, spokesperson of Ogbe-ljoh/Warri
Kingdom, said: “As the Niger Delta Avengers has
failed to toe the line of negotiation, the Federal
Government is expected to, without delay, begin to
match words with actions by calling all
stakeholders and regional leaders to a roundtable
to dialogue on some pertinent issues as they affect
the Niger Delta people.”
Omare denies sponsoring Avengers
Meanwhile, a former Commissioner for Environment
in Delta State, Chief Frank Omare, has denied online
report which fingered him of sponsoring the
Avengers and communal crisis between his
community, Ogbe-Ijoh and Aladja. In a petition to
the police, the former commissioner, said: “I wish
to state clearly and in unequivocal terms that I do
not know any member of Niger Delta Avengers. I
am also not one of the sponsors of the Niger Delta
Avengers, as I have no reason to do so. “I also did
not hold any meeting with members of the Niger
Delta Avengers or anybody whatsoever at Ogulaha
or any other community on how to attack and wipe
out Aladja. “In the past seven years that I have
been in the Delta State government, I have used my
position to promote peace and harmonious
relationship between Ogbe-Ijoh and Aladja. ‘’Former
Governors James Ibori, Emmanuel Uduaghan and
the present governor, Senator Ifeanyi Okowa, can
testify to this fact.”
in Delta State, Chief Frank Omare, has denied online
report which fingered him of sponsoring the
Avengers and communal crisis between his
community, Ogbe-Ijoh and Aladja. In a petition to
the police, the former commissioner, said: “I wish
to state clearly and in unequivocal terms that I do
not know any member of Niger Delta Avengers. I
am also not one of the sponsors of the Niger Delta
Avengers, as I have no reason to do so. “I also did
not hold any meeting with members of the Niger
Delta Avengers or anybody whatsoever at Ogulaha
or any other community on how to attack and wipe
out Aladja. “In the past seven years that I have
been in the Delta State government, I have used my
position to promote peace and harmonious
relationship between Ogbe-Ijoh and Aladja. ‘’Former
Governors James Ibori, Emmanuel Uduaghan and
the present governor, Senator Ifeanyi Okowa, can
testify to this fact.”
