" />
Published On: Mon, Aug 1st, 2016

Oil in Lake Chad:

Story by Adebayo Obajemu

Given the charge by President Muhammadu Buhari to the Nigerian National Petroleum Corporation (NNPC) recently to intensify efforts to find oil in the Lake Chad Basin, the National President, Certified Institute of Geographers (CIG), Mallam Adamu Sambo has stated that challenges posed by transportation, geographic location and wide currency exchange gap have hindered crude oil exploitation in the northern part of Nigeria
Sambo, in an interview with a local media, remarked that oil companies were not keen to go as far as the Lake Chad Basin to explore crude oil when they can conveniently do same on the high sea and transport them easily to overseas buyers.
According to him,

“The issue of oil and gas exploration in the northeast has actually been there for a very long time. From geological studies, there is oil there and there is gas, but whenever it comes to the exploitation of the resources, the oil companies don’t want to go there.

They ask the simple questions: Why should I go there? When I get the crude oil, what will I do with it? Export it or refine it? If I refine it, I will be getting local naira.

“The companies are coming to invest dollars and they will be getting local naira – they are not interested. They want to invest dollars and they want to get dollars back. So, why should I go to north-east to drill oil almost 2,000km (away) when I can drill the oil in the high sea and load the tankers in the high sea? That’s just the basic economics that prevented the exploitation of oil in the northeast.”

He noted that countries like Chad have no choice but to endure the rigour of exploring crude oil in the Lake Chad Basin where it is located, given the country’s economic condition.

“They have been drilling oil in the Republic of Chad for more than 10 years. They had to construct a 200,000 kilometres export pipeline. They are not refining in Chad; they are exporting it from Chad across the whole length of the Republic of Cameroon to the sea, to export their oil, because they do not have more natural resources around, or they do not have the capacity to tap the other natural resources.
“That one is the easiest one (from which) they would get forex, so they need it; they are still taking crude oil from that axis, but they have to pump it 200,000 kilometres from the pumps to export. And the proceeds they have garnered have actually changed the Republic of Chad for the better.”

Sambo, however, gave a glimmer of hope with the way another one of Nigeria’s oil-rich but landlocked neighbours to the north, Niger Republic, has found a way out of the problem.

“Our immediate neighbours, Niger, has a large expanse of land, but few people. Niger has about 16 million people in the population, almost like Lagos State. But Niger is larger than Nigeria by land size. They have crude oil there, but they cannot approach Nigeria to export because Nigeria is not even exploiting the crude oil possibility in the northeast. So, they just opted for modular refineries. The Chinese went there, they drill oil and they are refining the oil there,”

he said.
He, therefore, advocated the use of modular refineries in Nigeria because they can be built within a short time and can adequately take care of the country’s local consumption demand.

“Modular refineries are the kind of refineries for small-scale compact refineries which, I think, Nigeria should start using, because it’s very easy to build such refineries; it will take you just about a year to build this kind of refineries. Those ones can easily take care of our needs.”

He suggested that the government regulates those refining petrol illegally and provide technical support and funding instead of hounding them and destroying their facilities.

“Instead of Civil Defence officers chasing these boys who are establishing illegal refineries, they should bring them together and help them to access fund from this Nigerian Petroleum Development Fund (PTDF) and organise the building these modular refineries, small scale refineries.“Those small scale refineries can take care of our local consumption, a lot of people will be employed and a lot of businesses will wake up as a result of that. The psyche of the government is very unfortunate.
“The government is supposed to call these people (together), get the Nigerian National Petroleum Corporation (NNPC) engineers because, I can tell you, the immediate past and present Nigerian engineers working with NNPC, they can design those modular refineries and build them.”
“Those building these illegal refineries were ex-workers of these oil companies. They know how it works, they have the knowledge, they have the technical capacity, but they are not being encouraged.
In fact, they are being turned into criminals because what they are doing has not been approved by the government,”

Sambo said.

Leave a comment

XHTML: You can use these html tags: <a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>

Most Shared

Recent posts

  • War has been provoked between Yoruba and Fulani- OODUA Redemption Alliance declares

    War has been provoked between Yoruba and Fulani- OODUA Redemption Alliance declares OBINNA EZUGWU At the end of its security summit held in Ibadan on Thursday, the OODUA Redemption Alliance resolved to end what it called gradual incursion into Yoruba land by herdsmen who they accused of continuing the Jihad of Usman Danfodio. The group […]

  • It would be utterly irrational for Nigerians to vote for Buhari again- Junaid Mohammed

    Second Republic lawmaker, Dr Junaid Mohammed has noted that President Muhammadu Buhari has performed poorly in office and it would be irrational for Nigerians to vote for him in 2019. Dr Mohammed who made the assertion in an interview with Vanguard on Saturday, also criticized Buhari for being a poor reader who according to him, […]

  • Bayelsa tour: Obasanjo lays foundation for refinery

    Former President Olusegun Obasanjo continued his visit to Bayelsa State after inaugurating some projects of the state government on Friday. The former president continued his tour of the state on Saturday with the laying of the foundation for the establishment of Azikel Refinery. The refinery is owned by Dr Eruani Godbless, a prominent businessman and […]

  • Quite notice, hate speeches and President Buhari’s Northenisation/Islamisation agenda by Professor Ben Nwabueze

    Quite notice, hate speeches and President Buhari’s Northenisation/Islamisation agenda by Professor Ben Nwabueze NATURE OF HATE SPEECHES In the aftermath of the divisions in the country caused by President Buhari’s Northernisation/Islamisation Agenda, as manifested in his lopsided strategic appointments that unfairly favour the North as against the South, and the complete exclusion of the South-East […]

  • Chief Adeniyi to Tinubu: Withdraw your support for Buhari or risk losing influence in Yoruba land

    OBINNA EZUGWU Veteran columnist and elder statesman, Chief Adetola Adeniyi has warned former Lagos governor, Senator Bola Ahmed Tinubu against supporting President Muhammadu Buhari’s second term bid, as according to him, such could mark the beginning of the end of his influence in Yoruba land. Chief Adeniyi who led the Global Intelligentsia for Buhari, a […]

  • Killings: Buhari condemns action, sends Defence Minister to Zamfara

    President Muhammadu Buhari has strongly condemned Thursday’s massacre of innocent persons in Birane village, Zurmi Local Government Area of Zamfara State. The President stated this in a statement issued on Friday by his Senior Special Assistant on Media and Publicity, Mr Garba Shehu, following the death of at least 18 persons as a result of […]

  • Obasanjo visits Jonathan at Bayelsa residence

    Former President Olusegun Obasanjo on Friday visited former President Goodluck Jonathan at his home in Bayelsa State. Dr Jonathan welcomed the elder statesman who was in his home for a private dinner, in company with his wife, Patience. Earlier before the visit, former President Obasanjo inaugurated a government specialist hospital in the state and unveiled […]

  • NNPC dispatches 29.058m litres of PMS to 13 states

    The Nigerian National Petroleum Corporation (NNPC) said it supplied a total of 29.058 million litres of Premium Motor Spirit (PMS) popularly known as petrol to thirteen Northern states in three days. In its report on daily dispatch to filling stations made available to the News Agency of Nigeria (NAN) in Abuja on Friday, it named […]

  • Lagos will bring about world class childhood disability intervention-Joyce Onofowokan

    An area in which different levels of governments in Nigeria have remained loudly silent and painfully indifferent is childhood disability. Children with disabilities and their parents have over the years ridden on waves of disillusion, despair, and decay. They constitute a tribe of the silent minority that the society has conveniently allowed to disappear into […]

  • Ports now more efficient with FG’s reform – Izuwah

    The Infrastructure Concession Regulatory Commission (ICRC) has said that Nigerian ports were now witnessing more efficiency following the reforms of the Fedearl Government. Mr Chidi Izuwah, Acting Director-General of the commission said this during an inspection tour of facilities of the Nigeria Port Authority (NPA) in Rivers state. The acting DG said that the policy […]

  • Power: Nigeria gets $486m W/Bank credit

    World Bank has approved a 486 million dollars credit facility to Nigeria for electricity grid improvements, the lender said on Friday. “The investments under the Nigeria Electricity Transmission Project will increase the power transfer capacity of the transmission network and enable distribution companies to supply consumers with additional power,” the World Bank said. Nigeria’s  power […]

  • Army places N3m bounty on Boko Haram leader

    The Nigerian Army has announced a cash reward of N3million for information on Boko Haram leader Abubakar Shekau. “The Nigerian Army will give out Three Million Naira (N3,000,000.00) cash reward for any credible information that leads to the arrest of Abubakar Shekau, the fugitive factional Boko Haram terrorists’ group leader,” a statement by the Director, […]

  • Ethiopian Prime Minister Desalegn resigns

    Hailemariam Desalegn, A day after President Jacob Zuma resigned as South African President, Ethio­pian Prime Minister, Hailemariam Desalegn, Thursday announced his resignation in a televised broadcast amid political turmoil in Africa’s fastest-growing economy. The announcement came just after the government released hundreds of political prisoners, including some of the most prominent opposition members in the country, […]

  • FRSC officials donate blood to accident victims in Osun

    The Federal Road Safety Commission (FRSC), Officers, Ilesa Unit, has donated blood to improve health delivery schemes as well as to save accident victims. Speaking at the occasion, Mr Samuel Oyedeji, the Ilesa Unit Commander Federal Road Safety Commission (FRSC) said on Wednesday, that the blood donation programme was organised to mark 30th Anniversary of […]

  • Zuma’s exit ushers in new South African President

    South Africa prepared to welcome wealthy former businessman Cyril Ramaphosa as its new president Thursday after scandal-tainted Jacob Zuma resigned under intense pressure from his own party. Zuma announced he had stepped down in a late-night television address in which he took some digs at the African National Congress (ANC) party that had threatened to […]

  • Zuma resigns

    Jacob Zuma has finally bowed to pressure and stepped down from office as South African President The embattled president made the announcement in a broadcast to the nation on Wednesday evening, noting that he has stepped down “with immediate effect.” Zuma has been under pressure to step aside following allegations of corruption. On Tuesday, he […]