Security agencies have reported that criminal networks involved in oil theft in Nigeria are increasingly operating inside civilian communities, markets and transport corridors, moving away from remote creeks and offshore areas traditionally associated with the crime.

For decades, Nigeria’s oil theft crisis was linked mainly to vandalism in creeks, mangrove swamps and offshore locations in the Niger Delta.

However, recent cases show that illegal crude bunkering and refining activities now appear in built-up areas, blending illegal operations into everyday commercial life.

The trend was highlighted by security officials after the January 24, 2026 exposure of Owaza Mami Market in Ukwa West Local Government Area of Abia State, which authorities said served as a hub for stolen crude oil and illegally refined petroleum products.

Security agencies said the Owaza Mami Market, located along the Port Harcourt-Aba Expressway, was used as a storage, processing and distribution centre for stolen petroleum.

Investigators reported finding warehouses stocked with crude oil and refined products, and generators modified to run on crude oil.

The market, which appeared to commuters as a routine roadside market, was uncovered through a joint intelligence-led operation by Pipeline Infrastructure Nigeria Limited and government security agencies.

Officials noted that criminal groups deliberately relocate operations closer to highways and densely populated areas so illegal activities can be concealed within legitimate commerce.

According to security sources, markets, warehouses, hotels and residential compounds are increasingly used as covers for storage, refining and distribution of stolen petroleum products.

In the Owaza case, investigators reported active artisanal refining equipment operating within the market, reflecting a broader pattern of decentralised oil theft operations in parts of Rivers, Imo, Abia and Delta states.

Security reports also highlighted weaknesses in enforcement efforts, including checkpoint delays, restricted access for patrols and escape routes that enable suspects to evade arrest.

Nigeria loses billions of dollars annually to oil theft, which also damages the environment and public health, security sources said. Artisanal refining sites often dispose of waste directly into soil and waterways, contaminating farmlands and waterways