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  • Alleged $8.4m Oil Theft: DPR Says Product Met Regulatory Standards
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Alleged $8.4m Oil Theft: DPR Says Product Met Regulatory Standards

Admin April 11, 2019

The Department of Petroleum Resources (DPR) on Thursday said that Automotive Gas Oil (AGO) worth $8.4 million, allegedly stolen by an international oil company and five others, met the standards of Nigerian regulatory agencies.

The DPR testified before an Ikeja Special Offences Court in the trial of international oil company, Trafigura Beheer BV, and two oil marketers -Yahaya Kwande and Osahon Asemota.

The defendants are standing trial along with Kwande and Asemota’s firms, Mettle Energy and Gas, Rendbrandt Ltd. and Jil Engineering and Oil Services.

Mr Samuel Shuaibu, a Chief Technical Officer of DPR, gave the evidence at the resumed trial of the case.

He was led in evidence by Mr Rotimi Jacobs (SAN) lead counsel to Economic and Financial Crimes Commission (EFCC) prosecuting the defendants.

Shuaibu told the court that the allegedly stolen AGO was tested and confirmed to be suitable for the Nigerian market.

He said: “I know the vessel called MT Oxy 6. In December 2008, the vessel berthed at the Ibru Jetty, and the captain of the vessel declared quantity on board based on documents submitted by him.

“The vessel was engaged by Jil Engineering Services; an analysis of the product showed that it met the primary parameter of specification of normal AGO”.

The prosecution witness said that AGO which did not meet the primary parameter would be rejected by the DPR.

“The DPR cleared the vessel to Ibafon Jetty because the product satisfied the primary parameter of the specification. The product is within the specification of DPR and the quality of the cargo was declared okay by the regulatory agency”.

“We do not participate in the offshore quality analysis of the product. As a result of quality analysis conducted by us, the primary parameter was satisfied and a quality certificate was issued,” he testified.

Following Shuaibu’s evidence, the court admitted as exhibits, some documents which detailed the role of DPR in the transaction.

The documents are a bill of lading, quality certificate of MT Bonito, haulage documents issued for transshipment from MT Sikken Province to Oxy 6, and summary of transfer certificate of Oxy 6 from MT Efeomo.

The EFCC charged the defendants with conspiracy, forgery and stealing but they pleaded not guilty to the three-count charge.

The anti-graft agency said that the defendants committed the offences from Oct. 22, 2008, to Dec. 15, 2008.

It said that the defendants stole over 6,000 metric tonnes of AGO worth $8.4 million belonging to Nadabo Energy Ltd.

The EFCC also claimed that the AGO was kept in the legal custody of the now defunct Spring Bank on Victoria Island, Lagos.

NAN reports that the alleged offences contravene Sections 383(1), 427 and 516 of the Criminal Law of Lagos State, 2003.

Justice Mojisola Dada adjourned the case until May 2 for cross-examination of the DPR official. (NAN)

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Tags: DPR EFCC Ibafon Jetty Jil Engineering Services Mojisola Dada MT Sikken Province Nadabo Energy Ltd Osahon Asemota Rotimi Jacobs Samuel Shuaibu Trafigura Beheer BV Yahaya Kwande

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