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Thursday, March 24, 2022

Nigeria Oil


Black Snow: Nigeria’s Oil Catastrophe
Bloomberg Quicktake

Is anyone surprised that Nigeria is having problems dealing with their oil? In the last half of the video they spend some time taking about cleaning up the mess. Seems to me if you are in a deep hole, the first thing to do is to stop digging, i.e. stop making a mess. Any attempts to clean up the mess are going to be pointless until you can find something better to do for all those who are currently engaged in stealing oil and illegal refining. 

I wonder if you could build a small scale refinery. It might not be efficient as a big one, and it might not be as environmentally 'friendly', but almost anything would be better than the chaotic methods being used now. Are there small scale refineries? Of course there are. There are several companies that make complete, self contained systems for processing small amounts of oil. Seems like you ought to be able to make something like that work in Nigeria. Notice I said you, not me. I don't know who that mythical 'you' might be. 

Meanwhile, the theft of crude oil in Nigeria has skyrocketed:
Business Insider Africa understands that only 5% of all the crude oil that were pumped through the pipeline between October 2021 and February 2022 were received by producers. The rest were lost to illegal oil bunkering, a problem that seems to have taken a turn for the worse since global oil prices skyrocketed.

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