Due to unemployment and poverty in the oil-producing Niger Delta, illegal crude refining has become a lucrative but dangerous enterprise.An explosion at an illegal oil processing plant in Nigeria’s Rivers state killed more than 100 people overnight, according to a local government official and an environmental group.
“The fire broke out at an illegal bunkering site, affecting over 100 persons who were charred beyond recognition,” said Goodluck Opiah, the state commissioner for petroleum resources.
Because of the unemployment and poverty in the oil-producing Niger Delta, illegal crude refining has become a lucrative enterprise, but it has terrible repercussions. Crude oil is extracted through a network of pipes controlled by large oil firms and processed into products in improvised tanks.
The hazardous process has led to many fatal accidents and has polluted a region already blighted by oil spills in farmland, creeks and lagoons.
The Youths and Environmental Advocacy Centre said several vehicles that were in a queue to buy illegal fuel were burned in the explosion.
Al Jazeera’s Fidelis Mbah said that there are dozens of illegal oil businesses scattered around southern Nigeria.
“The unemployed youth are trying to produce oil on their own in order to sell to survive,” he said, speaking from Abuja. “The youths know that this is dangerous but because of the poverty levels, they have taken to [working in] illegal refineries.”
“The owner of the illicit refinery is currently on the run, and the government has proclaimed him sought,” Mbah continued. “They’re hoping to figure out exactly what transpired if he’s captured.”
In October, an explosion and fire at another illicit refinery in Rivers state killed at least 25 people, including several children.
Local authorities announced in February that they had begun a crackdown to try to stop the refining of stolen petroleum, but with little apparent result.
Nigeria, Africa’s largest oil producer and exporter, is estimated to lose 200,000 barrels of oil a day – more than 10% of production – to those tapping or vandalizing pipelines, according to government officials.
As a result, oil companies have been obliged to declare force majeure on oil and gas shipments on a regular basis.