(Ecofin Agency) - • Nigeria loses over 200,000 barrels of crude oil daily to theft, per Senate figures
• Theft impacts revenue, narrows fiscal margins, and weakens the national currency
• Investigations target pipeline sabotage, illicit sales, and surveillance failures

Nigeria is losing around 200,000 barrels of crude oil daily to theft and pipeline sabotage, according to Senator Ned Nwoko, chairman of the Senate ad hoc committee on crude oil theft. The figure, disclosed during an interview with the Nigerian News Agency (NAN), exceeds the daily production of Equatorial Guinea, another OPEC member, which produces an estimated 60,000 barrels per day.

The losses, Nwoko said, are the result of organized pipeline vandalism, large-scale siphoning, and long-standing gaps in oil sector surveillance and regulation. He described the situation as a systemic challenge that continues to reduce national revenue, weaken the naira, and constrain investment in infrastructure, healthcare, and education.

A public hearing recently convened by the Senate committee brought together representatives from oil companies, regulatory agencies, security forces, and host communities. The forum aimed to assess existing control mechanisms and identify shortcomings in enforcement. Key proposals include strengthening legal penalties, improving traceability of crude flows, and increasing community involvement in the protection of oil infrastructure.

The committee has also engaged forensic finance experts to track the full movement of stolen oil, from collection points to export and related financial flows.

The Senate report notes that Nigeria’s current daily crude losses exceed the total production of several OPEC member states and remain a critical obstacle to stabilizing the country’s oil revenue base and fiscal outlook.

The scale of these losses raises broader concerns about Nigeria’s ability to maintain a credible and effective energy policy. Sustained progress will depend not only on enforcement and oversight but also on high-level political commitment to ending systemic leakages in the oil economy.