Dear Editor,
Reference is made to the article captioned, “Nigerian regulator links Exxon to illegal lifting of petroleum from terminal” (SN June 10, 2023). Though Exxon has responded with a quick and strong denial, it would be most prudent for Guyanese to sit up and take a close look at this Nigerian development involving its crucial oil and gas industry. A quick recital of the facts as they stand would help.
A key Nigerian regulatory agency has claimed that a shipping vessel, the Barumk Gas, was engaged in lifting butane from the Exxon-controlled Bonny River Terminal, without the proper official involvement and clearance. As said, Exxon has issued an unambiguous rejection by asserting that its “operations are carried out in full compliance of the law.” My first reaction to the company’s position is to remind my fellow citizens that lawbreakers caught in the act, with eyewitness and video evidence, usually put up a spirited fight about their innocence; so that culture or standard is worthy of consideration. Now, whether Exxon did do an illegal lift or not, that will come out in due time, and I take no position either way, though I have my suspicions. But I present some surrounding details, three pieces of them, which should give Guyanese some idea of what pertains in Nigeria, and yet there is this sharp allegation by a Nigerian state body, which may or may not have grounds on which to stand.
First, the Exxon-managed and operated Bonny River Terminal is a mere 20 plus kilometers offshore Nigeria. It is fascinating, given what I would term that ‘fishing boat distance and range’, that something of this slippery nature could be alleged, as having been executed by Exxon. Could it be a case of misperception or overreaction by the Nigerians, with Exxon unfairly smeared? Or, on the other hand, could it be the situation where an oil company did not think twice of pilfering under a host nation’s very nose, so confident it is of getting away with that practice? I ask these questions, not so much with regard for Nigeria’s business, but with an eye to our own offshore platforms, which are 120 miles (or close to 200 km) away. There is a world of space and temptation and opportunity for some self-help by Exxon. It would take a saint not to yield to sin, especially when Guyana is so limited in its capacity for surveillance and inspection. This leads to the second point.
In 2018, Nigeria added 118 new vessels to its navy, including fast patrol boats and others of that class, and those above. I am uncertain of what is the total Nigerian Navy’s strength. Let it be said that what Nigeria has equips it to do lots of things in its waters, which we cannot even think of because of limitations with vessels and personnel. Nigeria has so much more than Guyana going for it in its waters, and there is still this problem with an alleged illegal butane lift. If it did happen there, where does that leave Guyana, which is ship deficient, and depends on Exxon for any and almost all information that it gets? It is not a comforting place. Since Exxon skinned us alive with that contract, and I believe cannibalizes us daily in any number of unknown ways, then it is doubtful that the company found religion now, or sees anything that has to do with god in its dealings with this country. Think of that, fellow Guyanese.
Third, there is the baffling and the intriguing. Nigerian regulatory personnel are the only ones that are supposed to have a key to the oil valve at the Bonny River Terminal, and must be present with the company whenever there is any oil lift scheduled. How is it possible that Exxon could have lifted that butane under such tight control? Did somebody help with copies of keys and codes? Did Exxon find a way, on its own, to circumvent that control? This is a story worth watching. But with the presence of these three powerful factors-geographical, military, and official control-all favouring Nigeria, there should never have been this allegation about an illegal butane lift. Now, if this really did happen, as the Nigerians insist, then what could this mean for Guyana, so handicapped in every department, and with Exxon given free rein to run amok out there and on land? Exciting, it is not. Think, Guyanese think for yourselves.
Sincerely,
GHK Lall
