Nigerian entrepreneur and Heirs Holdings Chairman, Tony Elumelu, says crude oil theft has dropped significantly, from 97% losses to just 2%. He also reports that the oil sector now operates at 98% profitability.
Elumelu made the statement during a high-level meeting at the Presidential Villa in Abuja. According to him, recent reforms are creating a real, measurable impact.
“We were losing 97% of our oil to theft; today, it’s down to just 2%, and we’re making 98% profit,” he said.
Security Gains Transform Industry Outlook
Nigeria’s oil industry has battled widespread theft for decades. This has stifled investment and cut production volumes. However, Elumelu’s remarks suggest a new phase of recovery driven by stronger enforcement and improved monitoring systems.
If accurate, the reduction marks one of the most significant improvements in recent years. Experts say the shift could boost investor confidence and ease foreign exchange pressure.
FX Access No Longer Politicised
Elumelu also noted an improvement in foreign exchange availability.
“We don’t need to know anyone in CBN to get dollars anymore,” he added.
This suggests that Central Bank reforms are beginning to work. The CBN has tried to simplify FX access and close gaps between official and parallel market rates. Businesses say these efforts are making transactions more transparent and predictable.
Confidence in Economic Reforms
Though not a political endorsement, Elumelu’s comments reflect growing private-sector support for ongoing reforms. His firm, Heirs Energies, has faced operational challenges tied to theft and FX shortages. Now, his remarks point to progress in both areas.
Despite ongoing challenges in the sector, including pricing disputes and subsidy removal impacts, the recent gains offer hope. Several analysts believe the country may be turning a corner on longstanding structural issues.
As of press time, official figures from the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) have yet to confirm the reported 2% theft level. Independent verification will be essential in assessing the full impact.