Hardly any of the international oil companies active in the
delta publish production figures or report on kidnapping and hostage-taking, yet these
are daily occurrences while the civilian population is suffering, even
though they have nothing to do with the government’s corrupt schemes.
The central government in Abuja has neglected the delta for
decades. It has failed to build schools, hospitals, and roads, and has simply
ignored the serious environmental problems. All that mattered was that the oil
kept flowing and continued to produce kickbacks for the political elite.
“The Federal Government has not funded one road in the key
Niger Delta States in the last ten years,” reads one of the cable messages in
February 2009, from the US Consulate in Lagos, citing a high-ranking politician, who could be Babatunde Fashola. In the face of such neglect, organized crime
has become rampant in the delta.
Some kidnappers are in bed with the authorities and
special military units that sometimes fight rebels in the delta and frequently
have a stake in the oil business.
The rebels, although staging attacks on the
multinational oil companies, also sell oil and enjoy police protection.
The political elite thrives on the chaotic situation.
Students are not only involved in kidnappings but also in attacking oil
platforms and guarding hostages. The same rebel oil traders managed to get
Fabestine Providence out of the country. Even inside the Black Axe movement, there is
corruption. The students earn $1,071 for three months of vacation.
However, with the Joint Task Force, an army unit pressing
them, the job is no longer glamorous but dangerous. Companies that drill oil in
Nigeria need to have strong nerves.
It is hard to obtain reliable information, and rumors circulate wildly. Do the rebels who are targeting the
multinationals’ production efforts really have anti-aircraft missiles to shoot
down companies’ helicopters, as one message describes?
Is the Russian energy
giant ‘Gazprom’ planning to get into the natural gas business in the country?
Another important question is which investors might be participating in a gas
pipeline across the Sahara to Algeria?
The 4,000-kilometer pipeline to the Mediterranean coast
would likely cost at least €10 billion. According to one cable, the multinationals
Total and Gazprom are interested in the project.
The head of ExxonMobil in
Nigeria, however, dismissed the pipeline project as a "fantasy" that would never
become a reality because the pipeline is too expensive and politically too
risky. Above all, it would not benefit Nigeria, and of course, it will not be
surprising that the Dutch Shell Group is involved in corruption.
Bitter complaints are coming from Western oil
companies. At a meeting with the US–Africa envoy, Johnnie Carson, oil
executives criticized the “amateur technocrats” who are in charge of the oil
and gas business on the Nigerian side. The managers said that Nigerian
politicians believe that deep-sea drilling would earn them no money.
Partners
from banks and the business world did not understand the business, they said.
The government in Abuja had collected 2.5 billion dollars in revenue over
the previous two years but had not made any investments in return.
At another meeting, an ExxonMobil manager reported that
companies had to calculate for a loss of around 40% for oil transport via
overland pipelines in the country, a result of oil theft.
‘It was more
efficient to import refined oil from Europe than to process it in Nigeria
itself, he said. The police charged with protecting the pipelines seemed
primarily concerned with coordinating the pilfering and letting potential
thieves know where they could steal the oil.
One dispatch from Washington reads, "Nigeria's four
state-owned refineries have an installed capacity of 445,000 barrels per day.
They have a history of fire, sabotage, poor management, lack of turnaround maintenance, and corruption. These elements have limited refinery output to 40
percent of capacity or less.”
In January 2009, one oil executive complained that the already
bad situation had gotten worse. Widespread attacks by pirates had led tanker
shipping companies to only accept contracts under certain conditions. Nigerian
government officials apparently responded by telling her, “Hire more security.”
What about the Israeli involvement? Another oil company
protested that high-ranking Nigerians demanded millions in bribes for rights to
load tankers. In addition, a top Nigerian prosecutor told a visitor that he would sign a document only if the visitor paid $2 million immediately and
another $18 million the next day.
The Nigerian government finds deals involving multinational companies unique in the oil industry. A report dated March 2009
states that "Shell and Total recently revealed that they were forced to loan
their Nigerian partners billions of dollars, below-market rates, to support
ongoing joint venture operations.”
An oil spill in the Delta State of Nigeria and
the threat of environmental health hazards
US diplomats also referred to a complaint from one of the
oil multinational companies about the Nigerian Navy, which the complaint said was totally incapable of protecting oil companies in the delta.
When rebels
attacked an oil platform in the Gulf of Guinea with a total of six speedboats,
Shell employees sounded the alarm at 2:30 a.m. It was only at 7:30 p.m., after
the attackers had long disappeared, that naval boats arrived, and their primary
aim was to obtain supplies of fuel and food from the platform.
Here and there, however, improvements have been reported.
Israeli security experts in the Nigerian state of Bayelsa were now going to
keep the kidnapper gangs at bay.
One dispatch reads: In fact, US diplomats
write, the Israelis are remarkably active in the Niger Delta. The Israeli
military provides equipment and training to the Nigerian special unit that
fights rebels in the delta. Back in October 2007, the unit lacked functioning
helicopters and armored troop carriers and only had two gunboats.
Now it has more than a hundred vehicles, around two dozen
boats, and two helicopters at its disposal. There is apparently one small
problem: some members of the unit are deeply involved in dubious oil deals.
Thanks to Horand Knaup for all this information, even though it is now publicly known.
I feel more pain and helplessness over the situation of
Fabestine Providence, an asylum seeker in the Netherlands, but the Dutch
government wouldn’t like to keep him in the country, despite knowing the roots
of his problem, since they are part of the corruption and environmental hazard
in the Delta of Nigeria.