Nigeria Security Update #1 010807

Oil Workers Face Increasing Security Problems (LRP)

Kidnappings, crimes, political upheaval, piracy and labor-relations disruptions are some of the security issues facing expatriates in Nigeria. The situation is exacerbating the shortage of trained personnel and offering HR leaders and security companies problems in protecting workers.

By Anne Freedman

The deteriorating security situation in Nigeria is prompting some oil and gas companies to think twice about continuing operations in the country.

"Nigeria is just notorious for a lot of bad stuff," says William Sheridan, senior director of global human resource services for the National Foreign Trade Council in New York. "It's been going on for a period of time."

According to strategypage.com, an online military-affairs research and reporting organization, nearly 150 foreign oil workers have been kidnapped this year, as of June, yielding "at least $100,000 per captive in ransom."

The problem has become so common, according to the report, that negotiations "now usually take days instead of weeks."

The "flow of ransom money has attracted more kidnappers, and attacks on foreigners working at non-oil-company firms," according to strategypage.com

Kevin Rosser, oil and gas practice leader in the London headquarters of Control Risks Group, a security and risk consultancy, says the security issues are exacerbating the "real shortage of technical personnel" needed by oil companies in the exploration and production business as well as oil-services companies that focus on work such as drilling or construction.

"The security problems come from a number of different sources. You have militant groups. You have organized criminal groups. You have communities who have -- may have -- some involvement. Some of these overlap," he says.

The difficulty of managing sometimes disruptive labor unions adds another level of complexity, he says, as does increasing piracy affecting offshore locations, which once were "reasonably insulated" from security problems.

"Kidnapping may be a militant phenomenon insofar as it has a political language and a criminal one insofar as the people behind it are looking for a ransom," Rosser says, adding that the situation in the country has been deteriorating for the past two to three years.

The combination of criminality and political radicalization has generated "chronic insecurity verging on an unmanageable security problem," he says.

Last year, the country saw the highest number of kidnappings on record -- about 27 incidents. This year, he says, that number was passed in the first quarter. Rosser says he hasn't seen the strategypage.com report, which puts the number of kidnappings at 150.

The HR implications of such a situation, he says, are that companies need to determine "their duty of care toward staff who they want to send into high-risk environments and what that means in practice from a security-management program."

It means HR must train workers to identify risks and "come up with a program for managing them effectively," Rosser says.

Workers need to know how to conduct themselves in a hostile environment, what to do if they hear gunfire, if they are in a traffic accident, if they are kidnapped, he says.

Sheridan notes the security risks "certainly inhibit" companies in their in-country activities "and it's going to inhibit people from taking the assignment."

While the oil industry is providing a great deal of gross national revenue to the government, he says, "the money doesn't tend to get very far. It doesn't benefit the community."

Most of the security problems are in the Niger Delta, an area filled with swamps and jungle, where the oil is located and where the government, Rosser says, has never fulfilled its promises to develop the region.

He says some companies have shut production sites or "mothballed" operations. "About 20 percent of Nigeria's total productive capacity is simply unavailable because certain producing areas are off limits right now," he says.

To recruit and retain workers, some companies are offering up to 1.8 times the normal salaries, he says.

Whether families of workers remain in the country depends on the area, he says. In an area such as Port Harcourt, which is in the delta and serves as headquarters for many oil companies, companies generally prefer that families do not accompany workers. In early July, a 3-year-old British girl, who was kidnapped on her way to school, was released after being held for four days.

In Lagos, the commercial capital -- where there are security issues but not at the same level as in the delta -- it's a little different, Rosser says. "I think the preference increasingly is not to have dependents."

Other than Iraq -- which now has very few foreign oil workers as the national oil company is handling the work -- Nigeria offers the highest risk to oil and gas expats.

Other countries with security risks, but nowhere in the same league, he says, include Colombia, Algeria, Pakistan, Indonesia and Saudi Arabia.

"The Niger delta," says Bill Daly, senior vice president and head of the New York office of Control Risks, "I would say, is one of the most risky areas to do business in these days."

But, he notes, "there's a tremendous amount of interest in the area because of the resources in the area."


Nigerian Oil Worker Seized (The Hindi)

A Nigerian oil worker was seized in the country's restive southern region, a colleague said on Wednesday.

Gunmen seized the employee of Elf, a subsidiary of French firm Total, from outside his church on Tuesday evening in the oil city of Port Harcourt, the colleague said who requested anonymity due to company restrictions on speaking to the media.

Kidnapping rings have seized over 150 foreigners this year. Victims are not usually hurt, and released after the payment of a cash ransom.

The practice began when disaffected communities began to seize foreign oil workers to protest unemployment or pollution, but gradually more organized militant groups demanding more political rights for their impoverished region began to carry out attacks.

Police say most of the current spate of kidnappings are carried out by criminal gangs only interested in cash. Recently, they have also begun to seek rich Nigerians as targets.

The police were not immediately available for comment on the latest kidnapping.

The attacks, and a string of bombings, have cut production in Africa's largest oil producer by around a quarter.

Bizarre Stories from the Niger Delta (This Day)

It is not funny at all when a man tells kidnappers that they can hold on to his mother as he could not afford the ransom demanded. Yet that is precisely what the Speaker of Bayelsa State House of Assembly, Hon. Werinipre Seibarugu, has done. He simply asked the hostage-takers holding her 70-year old mother to keep her, as he has no N50 million to give them.

In a manner that proves that the descent into anarchy in the Niger Delta has assumed a bizarre proportion, the septuagenarian was kidnapped last Tuesday. This is a woman who goes by the sobriquet, "Mama Yenagoa". What point on earth would the kidnappers want to make by visiting the poor woman with so much trauma? In response to the outrage expressed by the public to this criminal act, the kidnappers have demanded a N50 million ransom from her son.

The son is certainly not alone in protesting this crime. The other members of the House of Assembly have embarked on hunger strike to demonstrate their disgust at the phenomenon of hostage taking in the troubled region. On Monday, they all wore black suits to draw national and international attention to this heinous practice. In solidarity with the embattled speaker, the House has adjourned sittings for a week. Informed sources have explained the latest act as a fall-out of local politics. However, nothing can justify this act of brigandage. It cannot be rationalised on any ground. Whatever the motivation, it is as criminal as the kidnapping of babies, toddlers, oil workers and innocent expatriates that some other gangs perpetrated. At one time the victim was a girl, whose father is British and mother, Nigerian. She was taken on her way to school. Few days later it was a son of a chief. In some instances lives were lost in the efforts to rescue hostages.

t began as kidnapping of expatriate oil-workers; now fellow citizens of Niger Delta origin are becoming victims regardless of age and circumstance. Hostage taking has become a fast-growing industry with different criminal groups competing for turf in the region. The violence and other criminal activities are taking enormous socio-economic tolls. In a region in which some reports put the unemployment rate as being above the national average, companies are either scaling down activities or closing shops. It is no only the activities of oil companies that are affected. The economy of the already impoverished region is in serious jeopardy.

That is why while all decent people should join in calling for the release of Madam Hansel Seibarugu, this incident should be seen by the federal government as a chilling reminder that the Niger Delta debacle should be resolved as quickly as possible. This is more so that the federal government is reportedly attempting a fresh look at the problem.

Significantly, President Umaru Yar'Adua listed Niger Delta, as an issue of priority is his inaugural address on May 29. The problem is also an item in his seven-point agenda on which his campaign was hinged. Vice President Goodluck Jonathan, who incidentally is from the area, is reportedly given the special assignment of closely engaging the forces at play in the crisis. Soon after inauguration, the federal government had scheduled a summit on the Niger Delta.

The summit had to be rescheduled for a thorough preparation. It is good enough that the summit would not be taking place in a vacuum of ideas. There are documents that could illuminate serious discussions of the problem. Some of these documents arose from sober studies of the developmental and security dimensions of the Niger Delta condition. Attention should, therefore, be continuously drawn to these reports begging for action.

First is the Master Plan "facilitated by the Niger Delta Development Commission (NDDC) in partnership with state governments, Local Government Areas (LGAs), oil companies civil society and communities" in the region? The document could as well be termed the Niger Delta Manifesto of Development. The process of putting together the report has been essentially inclusive of the views of the various interests in the region. Former President Olusegun Obasanjo, who received the report, acknowledged that much. According to him: "What we have is not an NDDC plan, but a people's plan, one that one that all can claim ownership. The collective vision of the stakeholders captured in this Master Plan is the accelerated development of this hitherto turbulent and underdeveloped region into Africa's most peaceful, most prosperous and most pleasant region."

The summit may have to deliberate on how the implementation of the plan has not been funded to achieve optimal objectives. The Master Plan and the agency saddled with the task of its implementation cannot, of course, be immune from the dynamics of the politics of the region within context of the crisis of the Nigerian distorted federalism.

The second document that is worth referring to be the NIGER DELTA HUMAN DEVELOPMENT REPORT prepared last year by the United Nations Development Programme (UNDP). The report recommends a seven-point action plan, described as a "new development paradigm".

The elements of this plan are promotion of " peace as the foundation for development"; making "local governance effective and responsive to the needs of the people"; improvement and diversification of the economy; promotion of " social inclusion and improved access to social services"; promotion of environmental sustainability to preserve the means of people's sustainable livelihood"; taking "an integrated approach to HIV&AIDS"; and building "sustainable partnerships for the advancement of human development".

These recommendations arose from the question posed by the study: "The delta's human development dilemma raises the question of why abundant human and natural resources have had so little impact on poverty.

There is also the report of the committee headed by former Chief of Defence Staff, General Alex Ogomudia, on the security situation in oil -communities. This report was prepared in 2002 and submitted to the government. What was remarkable about the report is that it was signed by all the then incumbent service chiefs, heads of all security agencies, chief executives of all the companies operating in the upstream sector of the oil industry and secretaries to the governments of the oil-producing states. The committee recommended short term, medium term and long-term solutions to the problem. It is also instructive that this committee, which included Generals and security chiefs, reasoned that the there is no military solution to the problem. According to the committee, the answer to the crushing poverty of the region is development. And the method to resolve the conflict should be political. Nothing was done about that report in the lifetime of the administration that set up the committee and received the report. The report only became a subject of attention last year following the upsurge in hostage taking. Those who are preparing for the summit should study this report as a working document.

The three reports cited above are, of course, just a few among existing serious studies and suggestions on how to resolve the Niger Delta debacle. What is common to them all is the theme that what we are witnessing in the region is primarily a crisis of underdevelopment. This has been exacerbated by an irresponsible form of exploitation of a natural resource and gross inequities in the distribution of the wealth. The security and criminal issues are only derivatives of the development question

The Yar'Adua administration has to move fast to rein in the anarchy that is enveloping the region. It is good to be methodical in going about it and taking a holistic view of the issues as the administration is reportedly doing. However, this government does not have all the time to restore normalcy in the region. Before more damage is done, the government should come up with its own workable approach to check those who have turned hostage taking, oil bunkering, violent cultist activities and other crimes into a burgeoning industry in the region. The first thing to do is to isolate the criminals from the legitimate struggle of the people of the region for justice and equity. The most potent weapon the government could employ is embarking on a massive anti-poverty programme. The summit will be meaningful if it could come up with such a programme achievable within a time frame. It would be easier for government to confront the criminals if the issues of development are seen to be tackled seriously.

It is also important that those groups legitimately agitating in the region should join in the efforts to isolate the criminals who are defaming the struggle of the people of Niger Delta. For instance, it was salutary that militant groups such as the Movement for the Emancipation of Niger Delta (MEND) and the Niger Delta Volunteer Force (NDVF) have openly condemned some of the criminal activities. They even issued ultimatums to the criminals in some instances. It will also be productive if the militants could also adopt a more political approach in their struggle. The way they respond to the consultations for the summit will show how politically transformed they could possibly be in the coming years. If generals say that the government cannot solve the problems militarily, the militants too should be told that they wouldn't achieve their objectives employing violent tactics.

Death Toll Increases in Warri (Vanguard)

The death toll keeps increasing with each passing day. Although about 17 persons have been confirmed dead, the lives of many others are hanging on the cliff as a result of severe burns from kerosine explosions which rocked several parts of Warri, the oil-rich city in Delta State.

Explosions from killer kerosine have become a recurring decimal in the country and each time such incidents occur, blames are traded between the Department of Petroleum Resources (DPR) and the Nigerian National Petroleum Corporation(NNPC) on the one hand and marketers on the other hand as to the source of the adulterated product.

This time, DPR sources explained that the killer kerosine might have been scooped from a vandalised pipeline. The source claimed that what people thought was kerosine is actually condensate, a lighter variant of crude oil but which looks very much like kerosine.

The disastrous incident which occurred in Warri is already having negative effects on kerosine dealers in Lagos. Palpable fears have gripped residents of Lagos that the killer product may find its way into the city. Some apprehensive residents of the city said they would rather queue at petrol filling stations to buy their household kerosine than buy from open tanks whose sources they cannot guaranteed.

Royal fathers visit victims

Some royal fathers in Delta State, led by the Orodje of Okpe Kingdom, Major-General Felix Mujakperuo (rtd), yesterday, visited the victims of the kerosine blasts on admission at the Central Hospital, Warri on condolence visit.

The royal fathers, including the Obi of Issele-Uku, the Ughelli monarch and an Ijaw traditional ruler donated N100,000 to the victims to augment their medical treatment.

They asked those adulterating kerosine to stop the dangerous practice and commended the state government for its intervention.

Chief Consultant-Surgeon in the hospital, Dr. Peter Oside, conducted the royal fathers round the wards to see the victims.

Nigeria Security Update #1 310707

Pakistani Construction Manager Kidnapped (VOA)

Seven gunmen abducted a Pakistani construction manager in southern Nigeria on Tuesday and demanded a ransom, a local rights activist said citing sources at the man's company and witnesses.

The attack takes to at least 12 the number of foreigners being held hostage by armed groups in the oil-producing Niger Delta, where crime and militancy have surged since early 2006.

The gunmen, dressed in red, arrived by boat at a road construction site run by Italian firm Gitto near Bodo community in the Ogoni area of Rivers state, said Patrick Naagbanton, coordinator of the local Centre for Environment, Human Rights and Development.

Bodo has been plagued by deadly fights between two rival "cults" or youth gangs and the gunmen's red clothes suggested they may be members of Deebam, one of the cults.

"They held everyone at gunpoint before seizing the Pakistani manager and taking him away by boat," Naagbanton said by telephone from Rivers.

The abducted man was in charge of dredging for Gitto's road project, which is financed by the federal government. The road will cross several creeks and rivers.

Contacts at Gitto said the kidnappers called demanding a ransom but they did not disclose the amount, Naagbanton said.

Militants who criticised the neglect of the impoverished delta and demanded local control over oil revenues launched a violent campaign against the oil industry in early 2006.

They have forced the closure of several oilfields and oil output from Nigeria, the world's eighth-biggest exporter, is down by about a fifth.

But violence has spiralled out of control with numerous criminal gangs using the militancy as a cover to carry out abductions for ransom and armed robberies.

Over 200 expatriates have been kidnapped since the start of last year and almost all have been freed in exchange for money.

Chronology of Recent Abductions

Below is a chronology of some major attacks and kidnappings involving the Nigerian oil industry since President Umaru Yar'Adua was sworn in on May 29.

• June 3 - Gunmen kidnap six staff of United Company RUSAL, the Russian aluminium giant, in Ikot Abasi in the southeast. The men were working at the Aluminium Smelter Company of Nigeria.

• June 15 - Gunmen kidnap two Lebanese men, working for Italian firm Stabilini, near Ogara in Delta state.
  
• June 16 - Militants release 10 Indian hostages held since June 1. The hostages included at least three senior executives of Indonesian petrochemical company Indorama.
  
• June 23 - Four hostages, from Britain, France, the Netherlands and Pakistan, employed by oil services giant Schlumberger are released unharmed. The men were abducted on June 1 from Port Harcourt.
• June 25 - Two Indian construction workers, kidnapped near Sapele in Delta State on June 15, are freed.
  
• July 4 - Armed men attack a Shell facility at Soku and abduct five expatriates, two from New Zealand, one Australian, one Venezuelan and one from Lebanon. They are released on July 11.
  
• July 5 - A 3-year-old British child, Margaret Hill, is abducted in Port Harcourt. She is released on July 8.
  
• July 7 - Oil major Royal Dutch Shell said one of its teams had been attacked in Rivers state in the delta and two Nigerian workers taken hostage. The Nigerians are released on July 11.
  
• July 8 - A Briton was among two foreign workers kidnapped from a production barge near Calabar in Cross River state.
  
• July 12 - Francis Samuel Amadi, the 3-year-old son of a traditional ruler in the community of Iriebe, is kidnapped near Port Harcourt. He is released the next day.
  
• July 31 - A Pakaistani man, a manager in charge of dredging on a construction site run by Italian firm Gitto, is kidnapped near Bodo community in the Ogoni area of Rivers state.

Predicted Peace May Make Oil Flow Again (Reuters)

Nigeria's new government and militant groups in the oil-producing Niger Delta are moving towards talks that could restore lost output from the world's eighth-largest oil exporter.

An 18-month campaign of guerrilla attacks on Western oil facilities has prompted thousands of foreigners to leave Africa's top producer, reduced output by a fifth and helped oil prices rise to record highs.

But since taking office two months ago, President Umaru Yar'Adua has moved swiftly to engage the militants. He has met two of their demands by freeing two jailed leaders of the Ijaw ethnic group, the most populous in the Niger Delta.

In response, 25 armed groups have joined into a united front for talks with the government. The two sides are now working on preconditions for formal talks to address militant demands for more regional control over the delta's oil.

"I am very optimistic. The militias are ready to cease fire and give negotiations a chance," said Dimieari Von Kemedi, an Ijaw activist involved in the talks.

A truce called by several armed groups has held since Yar'Adua's inauguration on May 29. However, a crime wave continues to sweep the delta's largest city of Port Harcourt, posing a threat to the peace drive, he added.

Armed groups protesting against neglect and poverty in the vast wetlands region have stepped up violence against oil workers and industry facilities since the 1990s.

But the line between militancy and crime is blurred and dozens of criminal gangs use militant rhetoric as a cover to kidnap foreigners for ransom or steal oil from pipelines.

BLIP?

Security consultants working for international oil companies are split over the significance of the peace moves. Some see them as a temporary respite in a long-term decline in the vast region of swamps and mangrove-lined creeks.

"Though violence has eased in the last few weeks, the perception of companies is still negative," said one security consultant working for Western multinationals.

"Companies see a long-term deterioration in security. It may not be linear, but each cycle of violence is worse than before," added the consultant, who is not allowed to talk to the media.

There are still good reasons to be worried.

One powerful militant who leads a faction of the Movement for the Emancipation of the Niger Delta has so far refused to take part. His fighters have been responsible for some of the fiercest attacks over the past 18 months.

"The government is attempting to resolve the unrest in the delta through selective appeasement. This will secure a cease fire but how long this 'peace' will last, I cannot tell," said the leader, who uses the pseudonym Jomo Gbomo, in an e-mail.

"They will attempt to stall and pacify dissenting voices financially. Let's watch and see where things go. We will attack without further warning if there is a need to," he said, adding that he saw no prospect of better use of resources in the delta.

Despite these concerns, some projects and investments that had been on hold because of a surge in attacks in the first half of the year are now going ahead.

Oil giant Royal Dutch Shell has moved some workers back to its western delta oilfields, where 500,000 barrels per day has been shut since they were evacuated in February 2006.

It has resumed pumping 36,000 barrels per day from one oilfield and two tankers are expected to load from the Forcados terminal in August, the first shipments in 18 months.

U.S. oil giant Chevron has lifted a ban imposed in May on non-essential staff in offshore operations, industry sources say. And construction workers have begun setting up work sites to start building a new $1.8 billion highway across the delta, which had previously been frozen by security concerns.

Nigerian Army Retires 40 Top Officers (AP)

The Nigerian Defense Ministry has asked 40 top army officials to retire, a Nigerian defense spokesman said on Tuesday, two months after the country swore in a new president.

"There's no big deal about it. It's a continuous process," said Col. Mohammed Yusuf, who said the process was routine.

He said that under new Nigerian President Umaru Yar'Adua, the armed forces would be sticking strictly to rules that said members must retire at the age of 60, or after 35 years of service.

"They will now try to follow the process very properly, like it did not happen before. Once it is time, there is nothing you can do," he said.

Yusuf said the retirements had no political motive.

"There is nothing like mass retirement," he said, pointing out that classes of officers often graduate over 100 at a time.

He refused, citing national security concerns, to say how many generals were in the Nigerian armed forces or how many generals were among the 40 top officers being retired.

Nigeria has undergone several tumultuous decades of military rule and seven coups since wresting independence from Britain in 1960, but last April's elections that marked the country's first civilian-to-civilian transfer of power.

The elections were widely condemned as rigged by domestic and international observers, but some Nigerians were simply grateful that there was a peaceful transfer of power at all. Former President Olusegun Obasanjo had also previously been a military ruler of the country in 1975. He returned to power in 1999 on the back of a popular vote and also proceeded to retire a number of generals shortly afterward.

Most Nigerians do not believe that a coup is currently likely.

Before he promoted current President Yar'Adua as his protege, several of Obasanjo's supporters tried to force through a constitutional amendment that would have allowed him to run for a third term.

Although the country receives tens of billions of dollars in oil revenues annually and is rated as one of the most corrupt in the world by Berlin-based Transparency International.

Bank Manager, 3 More Killed By Armed Robbers in Lagos (Daily Champion)

ONITSHA branch manager of a second generation bank (name withheld), Nnamdi Obi and two policemen were killed by yet-to-be identified gunmen in separate incidents Sunday in Onitsha and Enugu, respectively.

Similarly, armed robbers yesterday stormed the domestic wing of the Murtala Muhammed International Airport, Ikeja, (MMIA), Lagos, leaving an unidentified man dead, and several others wounded after their operation.

Daily Champion gathered that Obi who hailed from Nawfia in Njikoka local government area of Anambra State, was shot dead inside his car near the abattoir in Onitsha where he had accompanied his wife to.

Police Public Relations Officer (PPRO) for Anambra command, Mr Felix Agbo, an Assistant Superintendent of Police (ASP) confirmed the killing.

He told our correspondent on telephone that investigation was on-going to unmask the killers.

Other gang of armed robbers Sunday night shot and killed two policemen in what appeared to be a planned attack on a police check point along Ogui Road, Enugu and about a 100metres from the police station on the same road.

The hoodlums also snatched the service rifles of the slain cops after, as eyewitnesses recounted, hurling abuse on and kicking their corpses.

The police check point had been mounted near two popular fast food shops and restaurants that are the favourite haunts of Enugu's rich and famous and had been targets of armed robbery attacks in the past.

The permanent police presence there had helped to keep the hoodlums at bay. The weekend's attack on the check point is widely viewed as an act of vengeance by the criminals against the men who had prevented them from operating freely in the area.

Eyewitnesses said the incident occurred at about 8.30 pm when the robbers who were travelling in a flashy car whose make could not be ascertained suddenly opened fire on the unsuspecting policemen as they approached their checkpoint. The hoodlums were said to have climbed down from their cars and after molesting the corpses of the cops, took their service firearms.

"It all happened in a flash, we suddenly heard gunshots and the next thing we saw were some people climbing down from a car and rushing at the policemen who were already lying on the ground. They kicked at the bodies and shouted insults at them before taking their guns and escaping in the car", said one witness, who pleaded anonymity.

Enugu State Police Public Relations Officer, Mr Mike Abattam, who confirmed the incident, said the bodies of the two dead cops had been recovered, adding that a massive man-hunt for the hoodlums had commenced.

"We have alerted all units to hunt down those hoodlums and I can assure you, we will get them in no distant time. They cannot escape", he said.

The hoodlums are also suspected to have been behind several robbery incidents in different parts of the city on Sunday night shortly after the attack on the policemen.

It also came barely a week after robbers killed a policeman and wounded another in a failed attempt to rob a bank at Nsukka.

Daily Champion learnt that the robbers, who started their operation at about 2am, tied up the six security operatives on duty and the three plain clothed caps seizing the gun of one of the victims.

According to some of the workers the alleged mad man was also shot dead on the spot. It is not the bureau de change office when he accosted the armed robbers.

What the rampaging hoodlums carted away, extensive damage to most of the offices and the vehicles that were parked there.

The chairman of the bureau de change, Alhaji Aliyu Abubakar, who spoke with Daily Champion confirmed the incident and stated that there have been strict orders to everyone at the bureau de change not to keep money overnight.

"We have a very strict order that nobody should keep his money overnight in the compound, so that order has been very helpful; because nobody kept money and the robbers did not find any money in the safe that were forced open," he said.

According to him, three safes opened and almost all the offices in the bureau de change were broken into by the bandits who went on a rampage riddling bullets on vehicles and windows when they found nothing to steal.

Airport Command police authority are yet to comment on the incident not reacted to it.

It is recalled that a similar incident took place early in January at the Nigeria Aviation Handling Company (NAHCO) where over N120 million was carted away and the suspects not been captured.

Unlike Sunday afternoon's robbery in Isolo, Lagos where the robbers allegedly trailed the bullion vans, yesterday's robbery in Lagos witnessed the raiding of some bureau de change offices at MMIA.

A police officer's rifle was allegedly snatched during the operation.

Nigeria Security Update #1 300707

Armed Robbery Suspects Gunned Down (The Tide)

The police in Rivers State have killed three suspected armed robbers during an exchange of fire along Rumuigbo Road, old GRA, Port Harcourt.

The men of the underworld met their waterloo when the police getting information that a gang of armed robbers are operating in the area and they immediately swoop into action.

A source said that as the police Anti-crime Patrol team was mobilized to the scene, the robbers on sighting them, opened fire and in the process exchange of fire ensued.

It was learnt that during the exchange of fire, the three armed robber suspects were gunned down and others took to their heels and escaped.

The source further said the police have intensified efforts to track down the fleeing suspects and bring them to face the full wrath of the law.

The police public Relations Officer of the state Police Command, Ireju Barasua, a Deputy Superintendent of police (DSP) who confirmed the incident however called on the public to always assist the police with timely information on criminal activities, as to enable the police move into action.

Another Missing Ship (Nigerian Tribune)

CURIOUSLY, it seems that Nigeria’s reputation for the proliferation of absurdities is on a steady rise. Now, it is commonplace for ships arrested for one crime or the other to literally disappear from the custody of those keeping them as if they were some small items that could be pilfered by a common pickpocket!

ABOUT two months ago, two ships, MT Balle and MT Alruhula, were used to transport crude oil that was fraudulently obtained. The officers and crew of the ships were arrested by some “overzealous” naval men in the Calabar area and the ships were steered to Port Harcourt. The ships were then officially delivered to the officers of the NNS Pathfinder at their base in Port Harcourt.

BUT rather than moor the ships, the officers of the Pathfinder found a path for the ships to escape and the naval authorities tried to cover up the scandal until a group called Nigerian Youths for Good Governance made allegations against the Nigerian Navy establishment and when the press asked the Navy to react to these allegations, they issued a statement on the matter.

ITS Director of Information, Captain Obiora Medani, said it was true as stated by the Nigerian Youths for Good Governance that two ships detained at the Port Harcourt base had disappeared but that the naval authorities had not tried to conceal the matter and that a board of inquiry headed by a Captain Bimbo Ayuba would determine if the crude found on the ships was illegally obtained and whether the NNS Kyanwa had a good reason to arrest the two ships.

IT is pertinent to recall that many high ranking naval officers were retired following the disappearance of MT African Pride because, according to the Chief of Naval Staff, Vice Admiral Ganiyu Adekeye, the officers had criminal connection with crude oil. As we asked in our Editorial of June 28, 2007, from where the foregoing is copiously quoted, “Is retirement a retribution for these Mephistophelian atrocities? Is retirement alone enough deterrent to others who might have discovered a greater reward in this criminality than in continued stay in service?”

CAPTAIN Medani, however, after our editorial on the Navy and the missing ships, had made allegations in the newspapers about a smear campaign in the media being sponsored by certain ex-naval officers who had been compulsorily retired from the Nigerian Navy and their relations trying to impugn the integrity of the Chief of Naval Staff and discredit the Board of Inquiry. Captain Medani even called the Nigerian Youths for Good Governance a fictitious group.

HOWEVER, hardly had he finished writing when another ship, an impounded Greek vessel, MT Tritya, escaped, this time, with three security officials detailed to secure it. This was disclosed at a press conference by the legal consultants to the shipping agents. The ship, according to the legal consultants, was legally detained as a pre-judgment security for the satisfaction of the civil claims of the shipping agents until an acceptable security by way of bank guarantee had been furnished by her owners. The ship had been impounded through an injunction obtained from the Federal High Court in Lagos against the vessel and three others claiming certain amounts of money until the final payment for short delivery of the cargo of gas and oil.

WE are worried by the regular disappearances of vessels from Nigeria, especially vessels detained over one offence or the other. We think that their escape in the various circumstances had been facilitated by bribed hands. The latest ‘disappearance’ is even curioser, as the security officers who were supposed to secure it ‘disappeared’ with the vessel. Were they abducted by the criminals who steered the vessel away under the cover of night? Or did they too connive with the criminals to get out of the country to seek for greener pasture elsewhere? The three security officers who reappeared some days after claimed they were abducted and brutalised by their captors before being released on the high sea. This claim needs to be investigated too by the authorities.

DISAPPEARANCE of vessels with ease speaks volumes about the security of the country’s territorial waters and this is where the Navy is implicated. If ships under its observation can ‘disappear’ without any trace and officers who had been found guilty had only been retired, how much easier will it be for other ships bound only by legal constraints from the courts to escape too?

THE ‘disappearance’ of MT Tritya should be properly investigated using all diplomatic leads and those found to be guilty should be appropriately punished by the relevant authorities. The Navy too should do better than whine about a smear campaign when in reality ships are disappearing, like small items that can easily be contained in someone’s pocket. It is plainly absurd that in the Nigerian state, ships can easily slide into the waters when the pockets of some felons bulge with ill-gotten wealth.

Report from the Creeks (Vanguard)

PASTOR Ayo Oritsejafor is the general overseer of Warri-based Word of Life Bible Church and the national president of the Pentecostal Fellowship of Nigeria, PFN who recently initiated a spiritual solution to the protracted Niger Delta crisis. After several weeks of evangelical mission to Europe and America, he recently granted Sunday Vanguard, an interview during which he x-rayed the state of the nation, and the Niger Delta. Excerpts

THE Yar'Adua government started with an industrial action. We just want you to look at the state of the nation.

I have a feeling that I always seem to talk differently from everybody else. I don't like talking because that's what is popular or that's what everyone likes to hear; because there are certain things people want you to say.

For me, I will say, first, thank God that we came through the elections and we are still a nation together. I say thank God because there were some things some of us won't want to say publicly. Before the elections, there were spiritual indications which I never said anything to you about, that the problem was not just going to be the elections but immediately after the elections and so some of us had to set certain things in motion.

I don't want to go into all the details. We needed to get people to do certain things - to pray us through and so that's why I said, number one, thank God that we came through the elections and we are still and will continue to remain a nation. The second thing is, in my own opinion, some of the things that have happened like the industrial action, for example, it was rather unfortunate. I think first of all that there were problems on both sides.

I am going to be economical with words because it has come and gone. I don't think at this point, I should be the one stirring up anything, talking this way or talking that way but, like I said, it was a very unfortunate thing that happened when it happened at that point in time. But thank God again it has come and gone.

I believe also that the Yar'Adua's government is beginning to find its feet. It's not going to be easy because in my own opinion, he is stepping into very big shoes, big Nigeria and big Obasanjo that has just left. So, it's going to take a while for him to stabilise and be able to bring out his own style of doing things.

I will appeal to the media to help him and give him a chance. Sometimes, some of the things I read are so troubling. Oh Obasanjo is influencing you, and so on. They should just leave this man and let him find his feet. Let him know what he wants to do and how he wants to do it. Give him a break.

The media is only mirroring the mood of the nation. Everybody seems to think that the past president has an overbearing influencing on every decision taken by Yar'Adua...

Is there any proof of that?

Well, for instance, he has taken over the PDP Board of Trustees?

Are you a PDP member? (Laughs). Again, you see, these are some of the troubling things. You are not a member of PDP, I am not a member of PDP. Let's leave PDP to sort themselves out. I've heard people say Yar'Adua is not the president of PDP, he's the president of Nigeria. I hail that.

That is true. He stood for election as a PDP candidate but now he's the president of Nigeria. So let's concern ourselves more with what the government does for Nigeria. Let's downplay this issue of PDP Board or no Board and all that stuff.

I think we are over flogging that issue. To me, it's too much,

let's concentrate more on the government and Nigeria. We want to move forward. There are other parties. I don't want to get a PDP membership card. I'm not a member and I don't want to be a member, I don't think you want to. If they want somebody from the moon to be their chairman, that's their problem, that's not mine.

The day I become a member then I can tell them, I don't like it. But to say that Obasanjo has hand in Yar'Adua's government, to me again, is speculation. It is true that Obasanjo was very much instrumental in bringing him in, we won't run away from that. That's the truth! It's there, it's obvious, but that doesn't make him a man that doesn't know what he wants in life. I mean, when you look at him, the man is 56 years old for God's sake, he's not a child. How did he get to where he is?

Was it Obasanjo that held his arm and took him to school through university? Was it Obasanjo that governed Katsina State for him? I think we should give the man a break. A lot of most of the things we are seeing is speculation and I will tell you why there's so much speculation. Part of it is because there are certain persons who know what people want to hear. I keep repeating that, and they blow up these and you people make them movie stars because they know what you want to hear too.

So, they open their months wide and you put all these things on your front pages and then the next person you go to says his own too and you put his own there. The president and his predecessor should be friends, they shouldn't be enemies! For one thing they belong to the same party, one was instrumental to bringing in the other, and secondly Yar'Adua naturally should consult with him in the sense of you've been in this thing, how did you do it? What happened here, what happened there? These are normal things. So, to me, let them allow this man settle down and do his job.

As part of his settling down, he called for a government of national unity. Are you in support of that?

One hundred per cent! I think it's a very good thing. I think it's a good thing because, first of all, Nigeria is more important than me as a person. Nigeria is more important than Yar'Adua. Nigeria is more important than any individual person. Nigeria is more important than any political party. We all know that we had serious problems during the elections. It's a fact, you can't run away from it. The reality is that there were a lot ofirregularities from all parties. If I may say, some did it more than others, but they all did it.

Let's not pretend about it because that's a fact. I met someone who ran for an office in a certain state and somehow it didn't work out and he was trying to tell me how they did this. So, I sat him down and started telling him how his own people did this and that too. I said we at the grassroots know what happened.

So the truth is that, everybody had a part to play in whatever had happened before. So, looking at where we are coming from, when you think of all the things that happened, yes, some people have been declared winners at the presidential and the state levels.

To find a way to keep Nigeria one, I think it's a very wise thing to reach out to other parties and say alright, come and contribute your part to this. For example, you see that in Obasanjo government, whether we want to give him credit for it or not, some of the people he appointed did very well, some didn't.

Incidentally mostly the women did very well. But if you want to look at it, you should say, Obasanjo did very well as far as those people are concerned. But my point is, some of those people were not even party people initially, but eventually they had to become. But they were not at all. Some were actually from other parties.

Could you imagine if some of those people were not given the opportunity to serve, we will never be talking about them today. That's one. Two, they would never have achieved the things they achieved, not for themselves but for all of us, for Nigeria. The reason they were able to achieve those things was because they were brought in and given that opportunity.

I think the idea is, some of these other parties may have credible people who can come into government, who can also add to this nation, to Nigeria. Because all we want is power supply, good roads, water and food. These are the things we want.

The Niger Delta question and power will be his cardinal programmes. He has spent two months and not even one word yet in that direction...

Is it really that not one word yet? I wouldn't say not one word yet. Again like I've always told you I think nobody will say now that I love Yar'Adua so much. I don't even know the man. Take the Niger Delta for example, I know that they have inaugurated a committee that is supposed to look at the security situation in the area. That is very important because most of the people in that committee know what is on ground.

If you go to Delta State, you'll see that the same thing is on ground now. There is a committee set up by the governor, a waterway security committee and the people in that committee know what is on ground. Now, that is very important. If you are going to solve the Niger Delta problem, you must involve the people who know what is on ground. They've done that. For example, again, NDDC, I initiated something, the week long prayers for peace which was concluded recently.

I actually initiated it through the past president. I think that is very important because one of the mistakes they've always made, when they call the so-called stakeholders in the Niger Delta, they never involve the Church. And it puzzles me, it has always puzzled me why they don't bring in the Church.

I went with the vice president and the Delta State governor, Dr. Uduaghan, to the creeks. I was shocked the way I was received! I was surprised by some of the leaders of the town and the young people. Before the vice president arrived, because some of us went ahead of him, they took me into a big room and gave me a special welcome separately. You know the way we entertain visitors. They brought out money, put money on the table, everything, received me.

I couldn't believe myself. They started singing songs with my name, but I'm a pastor. As I stepped into the place, they were shouting Papa. I couldn't believe myself. I said this is unbelievable. In this kind of place? So, it's a mistake not to have involved the Church all along, because we have something at stake. The Niger Delta, basically, is supposed to be a Christian part of this country.

That is the truth. Let's be honest with ourselves. There are no genuine Muslims anywhere in the Niger Delta. They are not there. Everybody you see there, if they want to be honest with you are Christians, one way or the other. They may not be very committed but that's who they are. Now, if they are Christians, they were baptised in a church probably. Their mothers took them to a church; their fathers took them to a church.

Organizing of prayers

They have gone to a church and I am a pastor. There are still some credible pastors that you can still involve. Like I said to NDDC and I hope we can get this across also to the government and those in charge, not only are we organising prayers, which is very important but we want to be involved further.

We want to be involved in negotiations in the sense of, you see, some of these boys don't trust a lot of government officials but there are people they believe are credible. It's possible they may think some of us are also credible. We can become the bridge, we can say to these boys, we have talked to government, let's give them one year - no fighting, no cheating, no nothing, put your arms down, let them do something.

If they don't, then nobody can blame you. And then we say to government, you see, we have put our neck on the line, my credibility is on the line, now perform. If they don't perform, we'll come out publicly to condemn them. I don't need money from government. I don't need anything. I say it everywhere, every time, I don't need it. No governor has given me one naira before, it doesn't happen because I don't want it. I don't need it. If they don't perform, we will come out and shout. And when we start talking, people will listen because they know we are not politicians.

So they need to involve us more.

For example, the master plan, a plan is just a plan until you can implement it, but how do you implement it? So, we want to be involved to help, so that this plan can be implemented. And in implementing it, there has to be dialogue and this dialogue has to involve the church. A lot of the institutions in this country have been bastadized, many don't have credibility and I don't want to start mentioning them.

But I think to an extent, there are still people in the Church leadership that have credibility that can say this is it and they will stick to it. And we know that if we say something and we don't do what we say then we're in trouble because we have nothing to preach to anybody. My members can walk out of the church because truth, justice, equity, all these things are directly, not indirectly, related to what we do. It's a direct thing. So if I don't stick to what I say, it goes completely against everything that am saying. So I have no platform.

What practical solution do you expect from the prayer sessions?

First of all, everything physical derives from the spiritual and so prayer is very important because there's no way you'll want to achieve peace without calling on the prince of peace. God is the owner of peace. There is a spirituality that goes with peace. When you call upon Him and you do it right, God can enter into the hearts of men. Two people who disagreed before suddenly can begin to agree.

You remember in the Bible, Jacob was coming from his uncle's place and he was told that Esau was coming with 400 men angry because of what Jacob did to him. And Jacob had an encounter, in other words, he had an all-night prayer meeting. In the morning, when Esau saw him, instead of killing him, Esau embraced him. So who created that peace? Was it Jacob? No, it was supernatural. So there is a supernatural aspect to the problem in the Niger Delta.

There are demonic forces that want to maintain the status quo because it is only in this kind of atmosphere that idol worship can thrive. Idol worship only thrives in confusion, in poverty, in this kind of situation. The moment development starts coming, believe you me, idol worship is gone.

Nobody will have time for that. And these spirits know this that's why they blind our people spiritually to make sure they can't understand this fact. If not, you sit down and think, our people had all these shrines, the white man came and colonised them with all these heavy shrines, used them as slaves and yet the juju couldn't do anything.

They can't even think, when these people came, some of our people were naked, they had to give you cloth to cover you and your juju was there, your juju liked you naked, running around in the forest. People are not thinking, with all these things you're serving, telling you bring blood, telling you to kill your brother, kill your fellow human being. You think that's a good thing? It certainly cannot be, but they are not thinking. So there are problems there and these spirits like it that way.

So we have to challenge this and the way to challenge it is spiritually. You can't challenge spiritual things with physical things. So what we have brought into it now is the spiritual dimension so that the prayers that have been done now for this one week, and like I told them, you can't end with one week of prayers.

Nigeria Security Update #1 280707

Speaker's 70-year-old Mother Still Being Held (Daily Champion)

The whereabouts of Mrs Hansel Seibaragu, mother of the Speaker, Bayelsa state House of Assembly, kidnapped Wednesday by yet-to-be- identified gun men at Akaibiri in Epketiama, Yenagoa local government area, is still unknown 48 hours after the incident.

Meanwhile, investigations by Daily Champion revealed that the family of the speaker, Hon. Werinipre Seibaragu, has relocated from their Yenagoa residence to an unknown area for security reasons.

This is as some youths sympathetic to the plight of the speaker have headed for Ekuluoma in Southern Ijaw local government area, where it is alleged that Madam Hansel is being held hostage by her captors to possibly secure their release.

Also, economic activities have been paralyzed in the entire Akaibiri community, following the abduction of the 70-year-old Madam Seibaragu, just as a close security source said the family of the speaker may have gone into hiding.

But when contacted on telephone, special assistant to the speaker on media, Mr. Jonah Okah, said he was not aware of such development, but stated that, "well for somebody of his status the provision of security would not be out of place especially in the present circumstances," but added that the family is working with the security agencies to ensure the release of the speaker's mother.

Okah, however said his boss who had traveled to South Africa along with some principal officers of the assembly for a parliamentary conference, is due back in Yenagoa, the state capital today.

On the whereabouts of the speaker's wife, Okah said, Mrs. Seibarugu had just been delivered of a baby, and should be left out of the current travails. He, however expressed optimism that the old woman would be released soon, saying she is innocent and had not done anything to deserve what she is presently passing through.

The state police spokesman, Mr. Iniobong Ikpokette in a telephone chat with Daily Champion said the command was yet to trace the whereabouts of madam Seibarugu, but noted that one of the suspects arrested in connection with the kidnap was making useful statements to the command. He, however, revealed that all security outfits in the state have spread their dragnet to track down the kidnappers.

Governor Timipre Sylva of Bayesla State who only yesterday sent his words of consolation to the speaker, had travelled to Abuja.

Kidnappers Now Targeting Nigerians (News 24)

More reports are emerging of kidnapping rings targeting wealthy Nigerians - perhaps because foreign oil workers are getting harder to snatch.

The children of five prominent families had been seized in southern Rivers State in the past two months; a powerful politician in nearby Delta state was kidnapped and beheaded over the weekend; and gunmen seized the mother of a local official in Bayelsa State on Tuesday.

Kidnappings in Nigeria's south - which was rich in oil, but underdeveloped - first began after impoverished communities took oil workers hostage to protest pollution or failed development projects. Now, criminal gangs had moved in, and kidnappings were on the increase.

Damke Pueba, an activist with civil society group, Stakeholders Democracy Network, said: "No one feels safe anymore. This last year has really been the worst."

New gang members get incentives

Pueba added: "There are lots of groups that you can hire to settle scores with anyone...almost all of them are backed by one corrupt politician or another."

Pointing to a recent scheme announced by the state government to reward gang members who renounced their membership with cash, Pueba said, "that is just an incentive for people to join the gangs".

State officials were not available for comment on the plan.

A Nigeria-based analyst with private security company, Armorgroup, said that the payment of ransoms, relatively low arrest rate and the relocation of many foreign oil workers might also be encouraging kidnappers to turn to Nigerian victims.

He said it was impossible to track kidnappings of Nigerians without reliable statistics, but as oil companies restricted staff movements, more reports of kidnapped Nigerians who were not associated with oil companies were surfacing in local papers and in security circles.

Port Harcourt 'Nigeria's biggest oil city'

He said: "As expatriate targets get harder or rarer, criminals will have to look elsewhere if they want to carry out kidnappings ... anybody with wealth is a target."

Foreign workers in the Delta typically travelled in armed convoys, lived and worked in floodlit compounds protected by high walls and barbed wire, and were forbidden to go out after dark.

Residents of Nigeria's biggest oil city, Port Harcourt, had dubbed the heavily guarded compounds "the Green Zone", a wry reference to the Baghdad area that was home to the United States embassy and the Iraqi government headquarters, an island of relative - and heavily guarded - calm in Iraq's chaos.

Nigeria is Africa's largest crude producer and an important supplier to world markets. But the oil wealth has been stolen or squandered by the country's leaders.

More than 250 foreigners had been seized in the oil-rich south in the last 20 months, and an unknown number of Nigerians.

Amid accusations that government officials took a cut of ransoms they helped negotiate, some kidnap victims preferred not to report incidents to the authorities.

Shell Donates Boats to Bayelsa Community (The Tide)

Shell Petroleum Development Company (SPDC) has donated three 12-seat speed boats to Fantua Community in Bayelsa.

The company’s Area B Community Interface Coordinator, Mr Suoton Amade, said during the handover Ceremony in Port Harcourt that the donation was to enable the community to start a commercial water transport scheme.

Amade said that the scheme, if properly handled, would employ 19 members of the Fantua community and positively affect their lives.

He explained that SPDC had already held business literacy and technical skills training for those who would handle the scheme.

He called on the community leaders; to ensure judicious use of the boats.

The coordinator noted that the three boats were built by an indigenous boat company, Epenal Boat Builders Ltd., at a total cost of N11.5 million.

The boats were given to the community with a spare 75 horse power engine and complete safety kits and N100,000 as initial working capital.

The community was also given N60,000 to transport the boats home.

Responding, Chairman of Fantua Community Development Committee, Ogbomo Allen thanked Shell for the gesture.

He expressed the community’s readiness to effectively utilise the boats.

Nigerian Navy Officers Booted for Bunkering Oil (Reuters)

Nigeria's navy has retired 10 officers, including a rear admiral, because of evidence they were involved in smuggling stolen crude oil, the chief of navy staff was reported as saying by the official news agency.

Nigeria is the world's eighth biggest exporter of crude oil but a sizeable proportion of its output is stolen by thieves who either drill into pipelines or hijack barges loaded with oil. The theft and smuggling of oil are known as "bunkering".

Industry experts say much of the violence that plagues the oil-producing Niger Delta is connected to bunkering.

Armed gangs fight turf wars over bunkering territory, they say, while corrupt government officials and members of the security forces protect the gangs in exchange for a cut of the profits. Proceeds from bunkering fuel crime and militancy.

It is rare for the Nigerian armed forces to recognise that any of their own are involved, however, or to comment on the problem.

"They (the navy officers) were involved in oil bunkering," Chief of Navy Staff Ganiyu Adeyeye was quoted as saying by the News Agency of Nigeria late on Thursday.

He was answering questions from a House of Representatives committee investigating the retirement of a rear admiral and nine other officers. He said the navy had "formal intelligence reports" against them.

Proceeds from bunkering are a major source of funding for militants in the Niger Delta who often killed naval ratings and officers, Adeyeye said in his presentation.

The Niger Delta has become increasingly anarchic since early 2006, when militants alleging neglect by successive governments launched a wave of attacks on the oil industry and kidnappings of oil workers to press for local control of oil revenues.

The violence spiralled out of control as bunkerers, armed robbers and ransom seekers all sought to take advantage of the breakdown in law and order. More than 200 foreigners have been abducted, mostly for money, and thousands of others have fled the region.

Nigeria's oil output is down by about 20 percent because of the violence.

Exxon Mobil Profits Slip (Washington Post)

Exxon Mobil profit slipped about 1 percent in the second quarter, disappointing analysts as higher exploration and production costs, and lower oil and gas production offset big earnings in the refining and marketing end of the business.

Though the $10.26 billion in profit was the fourth-largest quarterly profit for a public company in U.S. history, Exxon's stock fell $4.56 a share, or 4.9 percent, to $88.23 a share. The company's shares are still up 15 percent this year. Earnings per share were $1.83, up from $1.72, after $7 billion in share buybacks, but earnings fell short of analysts' estimates.

Revenue was $98.35 billion, down from $99.03 billion.

"Exxon obviously was a big disappointment because they spoiled us" with consistent profit gains, said Fadel Gheit, an oil analyst at Oppenheimer & Sons. He compared the company to New York Yankees star third baseman Alex Rodriguez. "When A-Rod strikes out, people say, 'My God' in disappointment because he's hitting a home run every other time," Gheit said.

Exxon's results capped a week of big profits reported by most of the world's largest oil companies. Thanks to a series of refinery fires, breakdowns and maintenance shutdowns, combined with low industry inventories of refined products, profit margins in the refining and marketing end of the business soared. Though U.S. refining output at Exxon dropped by 128,000 barrels a day, compared with the second quarter of 2006, refining and marketing profit jumped 37 percent. Refining and marketing profit also rose 42 percent at Royal Dutch Shell Group and 38 percent at ConocoPhillips Co.

The quarterly reports also showed signs that the industry faces spiraling costs and political problems getting access to oil prospects as existing fields gradually decline.

ConocoPhillips said Wednesday that it took a $4.5 billion write-off in the second quarter for Venezuelan operations taken over by the Caracas government. Exxon said that its output in West Africa was trimmed 9 percent because of quotas from the Organization of the Petroleum Exporting Countries. And Royal Dutch Shell, which gave in to pressure to sell half its stake in a Sakhalin Island oil project to Russia's Gazprom last quarter, said that 195,000 barrels a day of its Niger delta oil production has been curtailed because of insurgent attacks.

This comes amid gradual declines in output from aging fields. For example, Conoco's production for the quarter averaged 1.9 million barrels of oil equivalent per day, down from 2.1 million. The company blamed the decrease on normal field declines, planned maintenance in the North SeaDubai. Its exit from Venezuela will cut production further in the third quarter, the company said. and its decision to leave

Companies are turning to new ways to keep production up. Royal Dutch Shell said that it managed to limit its production decline to 2.3 percent thanks to unconventional projects such as oil sands in Canada and a gas-to-liquids venture in Qatar.

Exxon said that it would explore for oil in Madagascar and New Zealand, not usually considered among the world's best prospects. It also said yesterday that it had drilled the longest well ever, more than seven miles, to reach a subsea oil field on Russia's Pacific coast.

Royal Dutch Shell Chairman Jeroen van der Veer yesterday would not rule out a natural gas development project in Iran, despite pressure from the U.S. government for European firms to help isolate the Tehran regime. He said that the company would "take political considerations into account," but that it was still studying how to follow up on a tentative agreement it reached with Iran last year.

Gheit said that the big oil companies would have trouble matching the second-quarter results. He noted that in the past four weeks, profit margins at refineries had plunged about 50 percent. But production earnings should remain high thanks to high oil prices. The price of crude oil on the New York Mercantile Exchange neared an 11-month high before dropping to $74.95 a barrel yesterday.

Nigeria Security Update #1 270707

Nigeria Nuclear Safety in Question

The new president of Nigeria is urging the country to embrace nuclear power, although his own nuclear watchdog is struggling to track the radioactive materials already in use here.

"We need to develop the capacity to utilize nuclear power for power generation. Who knows, nuclear power may be the only source of energy in the future, and we must think of the future," President Umaru Yar'Adua said in a speech this week.

Nigeria has frequently said it would like to build a nuclear power plant to address its chronic power shortages, partially caused by poor management and maintenance of its electricity infrastructure. The country is Africa's largest crude producer, but currently imports all its refined oil because its four refineries have been shut down by accidents, broken parts or sabotage.

The petroleum industry is currently the main user of radioactive materials in Nigeria. The materials, used in tools to detect cracks in pipelines or measure exploratory oil wells, have gone missing -- or been stolen -- in the past.

Nigeria also has nuclear materials for research and medical purposes, including in a reactor, that are regularly inspected by the International Atomic Energy Agency, the Vienna-based nuclear watchdog for the United Nations. The United States signed an accord with Nigeria's nuclear agency in 2005 agreeing to pay for tighter security at sites where radioactive materials are kept.

William Potter, director of the James Martin Center for Nonproliferation Studies in Monterey, California, said the radioactive materials used in the construction industry would be of interest to terrorists who might want to construct a "dirty bomb" -- which could spread radiation by a conventional explosion. He added that inadequate regulation of radioactive materials is a global problem, but "even more acute in those countries which lack well-developed nuclear regulatory bodies and material control and accounting practices."

Even in the U.S., Potter said, about one radioactive device a day was "orphaned" or lost track of.

Shamsudeen Elegba, director of the Nigerian Nuclear Regulatory Authority, said in a speech last week that despite upgrading controls designed to halt the illicit trafficking of radioactive materials, "we still have some challenges in the safety and security of radioactive sources."

He said that progress had been made but highlighted the lack of dedicated storage facilities and detection capacity at ports of entry, inadequately trained personnel and inadequate tracking of sources as Nigeria's major challenges.

Before the establishment of the Nigerian Nuclear Regulatory Authority in 2001, there were no restrictions on the import or export of radioactive materials. The body is still battling to effectively regulate their use and import.

In 2002, two devices used for X-raying oil pipelines for cracks were stolen from the back of a truck in the restive southern Niger Delta, according to news reports at the time.

The devices, which contained radioactive americium-beryllium, were lost in December. But the government did not issue a public warning until two months later, when a delegation from the IAEA arrived to help investigate their disappearance.

The devices were eventually found in a European scrap yard, said an oil worker who was familiar with the investigation. He thought the thieves may have stolen them to sell as scrap.

An IAEA official confirmed the oil worker's account, but agency officials authorized to speak to the media were not immediately available for comment.

The Nigerian Nuclear Regulatory Authority refused to answer questions about individual breaches of security.

The oil worker, who asked not to be named due to company restrictions on speaking to the press, said he was aware of at least one other occasion when radioactive materials went missing but declined to give details due to the sensitive nature of the incident. He did say that to the best of his knowledge, the materials stolen in the second instance had not been recovered.

A private security contractor who asked for anonymity because he was not authorized to speak to the media said that in 2004, radioactive materials had been abandoned on rigs that had come under attack by gunmen. Attacks on the Nigerian oil industry occur several times a week. Over 250 foreigners have been kidnapped in the last two years and a quarter of the country's oil production is currently shut in following a series of bombings by militant groups demanding greater political rights for their impoverished region.

Earlier this year, the government also publicly chastised four oil and oil service companies for moving around radioactive materials without the proper permits. It did not specify what the materials were but americium and cesium are two of the most commonly used by the industry, although usually in relatively small amounts.

The oil worker said that in Nigeria, it was impossible to say which companies used radioactive oil well mapping devices or how many they owned.

The methods for tracking such materials seemed to differ company to company, he said, and if they're lost, nobody cares.



Solving Lagos' Security Problems (This Day)

The concern of an average Lagosian is the insecurity of lives and property in the metropolis, especially with the incessant cases of armed robbery even in broad daylight. One could recall vividly the robbery incidents within the last one month in areas like Maryland, Ikorodu road, Oregun, Ogba, Lagos Island, Iyana Ipaja, Apapa and Surulere during which people were deprived of their belongings including cars, jewelleries, mobile telephone handsets, huge sums of money and other personal effects by the hoodlums.

Rising up to the Herculean task of policing the state, the state police command engaged the men of the underworld in fierce battles during which casualties were recorded and some of the hoodlums apprehended and paraded before newsmen by the Police.

However, the efforts of the police appear not to be good enough even as the Lagos State Government has expressed concern over the rising wave of crime in the metropolis. Governor Babatunde Fashola, a Senior Advocate of Nigeria (SAN), while taking oath of office on May 29, vowed to fight crime headlong.

Less than two weeks of assuming office, Fashola, on June 11, inaugurated a 33-man security committee headed by a former Inspector General of Police; Alhaji Musiliu Smith. Other members of the committee included heads of military formations namely the Army, Navy and the Air Force in Lagos State, State Police Commissioner, state director of security, Comptroller of Immigration, Comptroller of Customs, Commander of the National Drug Law Enforcement Agency, Neighbourhood Watch Coordinator; Kick Against Indiscipline[KAI] Marshal-General, Community Development Committee Chairman and representative of the state ministry of justice.

The committee which had a three- week period to submit its report, also had its terms of reference to include determining the causes and effects of small arms proliferation in Lagos state proffering solutions to the spate of violent armed robbery attacks on innocent citizens and institutions such as banks, hotels, eradicating the menace of area boy/street urchins in Lagos generally and in particular the Central Business Districts of Lagos and adjoining Ikoyi and Victoria Island; providing cogent solutions to transport insecurity as in the recklessness of motorbike transporters popularly called Okada riders; and such other ancilliary issues as may be necessary to guarantee overall security of lives and property in the state towards increasing the confidence of the entire citizenry of the state The committee which at its inaugural meeting realised the need to co-opt eleven more people who are experienced in safety and security matters as members received total of 30 memoranda that were analysed and considered during the committees six plenary sessions.

At those sessions the committee discussed and harmonised the different opinions and suggestions by members and made recommendations accordingly. Submitting its report to Fashola on July 11, exactly one month after its inauguration, the committee chairman, Smith said his committee carefully considered all aspects of security which he said were quite complex and challenging and that all the terms of reference were thoroughly debated with a view to proffering workable and practical solutions.

The major findings of the committee which were contained in three binded volumes of the report submitted to Fashola, according to Smith, include that the effect of increased criminal and violent activities due to small arms proliferation are many and they impact negatively on every sector of the states socio-economic strata.

The committee also identified proliferation of small arms and other offensive weapons as a major cause of armed robbery and other violent crimes in the metropolis, adding that area boys and street urchins who hang around motor parks, highways, bus stops and other public places purposely to engage in various anti-social or criminal activities including extortion and harassment of the people.

While urging the state government to speedily implement the committees recommendations so as to ensure standard security situation in the state, Smith declared that there are additional issues ancilliary to the general and specific purposes of achieving overall security of lives and property in the state which the committee identified and considered and are contained in the committees report. The report is in three parts namely the main report, the executive summary and memoranda.

In receiving the report, the governor expressed appreciation to the members for a job well done and assured that government would consider the recommendations and take necessary steps towards adequate security of lives and property in the metropolis.

Ironically, weeks after government received the committee’s report, the menace of crime continued unabated in the metropolis. One only hopes that the Fashola-led administration in the state would before long come up with the white paper on the committees report so that the issue of crime would be given a comprehensive and wholesome approach.



Two Arrested for Kidnap Plots (Vanguard)

Two persons including a Police Constable have been arrested by police detectives attached to the Enugu State Police Command for attempting to kidnap foreign nationals in Enugu.

The State Police Commissioner, Mr. Bashiru Azeez, who disclosed this while briefing reporters on the achievements of his command in Enugu yesterday, said that even though his men succeeded in foiling the attempt to kidnap some foreign nationals, they were able to apprehend the suspects who have made confessional statements on their evil mission to Enugu.

According to him, the suspected kidnappers, a middle-aged man and a police constable identified as Francis Ekwenyi, came to Enugu from Port Harcourt with the aim of kidnapping some white men in a bid to make money.

"On information I dispatched my detectives to monitor and intercept them before the execution of their intention. On their way to Enugu they were intercepted by a team of Anti-Crime Patrol, on searching their vehicle, four AK 47 Riffles were recovered from them," the CP said, adding that the case was still being investigated.

Azeez, who expressed the determination of his command to reduce crime wave in the state, said that necessary security measures that would help reduce crime in the state had been put in place, saying with the decision of the State Government to increase the fleet of police patrol vehicles, criminals would be battled to a standstill.

Governor Sullivan Chime had shortly on assumption of office approved the purchase of 47 patrol vans for the police in demonstration of his government's readiness to combat crime in the state. The vehicles, which have already been procured, would be officially presented to the police command on Monday.

The new Commissioner of Police said that shortly after assumption, he initiated some programmes, which, he said, had made it possible for his men to apprehend some miscreants in parts of the state.

Shell Discovers New Oil (Nigerian Tribune)

The Shell Petroleum Development Company of Nigeria Limited (SPDC) announced on Thursday a material oil discovery onshore in its Eastern operations.

SPDC said in a statement issued that "An exploration well in Aghata-1X in OML-17 was drilled to a total depth of 4,679 metres. The well encountered some 245 metres of hydrocarbon bearing reservoirs, and production testing at two reservoir levels has been completed. The well has tested up to 5000 barrels of oil per day'.

It said the well had now been completed and hooked up to the nearby Agbada flowstation for further production testing. The company said "Initial production is expected to commence later this year after the completion of the production test, and studies are ongoing for appraisal and full field life-cycle development.

The Managing Director of SPDC and Country Chair Shell Nigeria, Mr. Basil Omiyi, said: "Aghata-1 well is a material exploration success for SPDC and Shell.

It has the potential to immediately increase oil production in the area, and also enable us to find other potential exploration opportunities in similar geological settings. We continue to be proud of the contribution that SPDC is making to the development of oil and gas potential in the Niger Delta, and the contribution this offers to the Federal Government's energy aspirations and the future benefit of the Nigerian people."