Case StudyCase Study Effectively prevent the theft of diesel Effectively prevent the theft of diesel

X is a

multinational mining company

with a focus on precious metals that operates

across several countries in West Africa. I was working

as an independent security consultant for the company

before being appointed head of security for a new

project. This project had reached the phase of

advanced exploration and started the process of a

feasibility study for mining. The project, a very remote

location several hours drive from the nation’s capital,

was operating principally during the dry season and

kept on care and maintenance during the rest of the

year. Activities consisted of drilling, provided by two

different sub-contractors with multiple drill rigs, and

exploration work with road and trench making in a large

area of several square kilometres. It had a fully staffed

geology department with an attached on-site

operational laboratory. Regarding infrastructure, the

project consisted of an exploration camp with office

facilities, a laboratory and accommodation facilities for

national and international senior staff as well as

housings for selected local staff (e.g., drivers, kitchen

staff, etc.). The camp also consisted of

accommodations for drilling sub-contractors, and

a junior and senior mess. At its full

operation, there had been

approximately 200 to 300 local

staff, mainly employed

during the dry

season, and up to 30 senior personnel, half of which

expatriated on fly-in/fly-out schedules. An expatriate

geologist was responsible for managing the

exploration, geology and drilling contractors. An

expatriate administrative manager, supported by senior

national staff, was responsible for administration,

human resources, finance, health and safety,

community relations, security, environment and all

activities related to maintenance and construction.

T he exploration camp was fenced off and two

access points existed. At an early stage, X

employed 10 locals as watchmen to monitor activities

at the access points to the compound or to assist the

distribution of diesel at the on-site fuel pump. Later, a

security company was awarded the contract to provide

on-site security. A manpower of 12 guards, acquired

from the local community, per 12 hour shift were

supervised by a security guard force commander. Their

tasks consisted of surveillance of the exploration camp,

the laboratory, the drill rigs in the field, despite the fact

they belonged to the sub-contractors, and the dozers

and excavators used in the field for exploration. Tasks

also included preventing degradation of exploration

roads by artisanal miners which

By David Klimas klimas.david@yahoo.co.uk

coexisted with X at this stage of

the project. Prior to my arrival, a security supervisor

was appointed by X, to manage the security contractor

and to liaise with local law enforcement. Security was

allocated two 4x4 vehicles and two cross-country

motorbikes provided by the contracted security

company.

F uel theft had been known as an issue for senior

management. Theft occurred at the on-site fuel

station or in remote locations where diesel was used in

large quantities at water pumps, dozers, excavators

and numerous drill rigs. Generally, fuel was collected at

the pump several times a day using drums or rubber

containers and then transported by the 4x4s by

company drivers or drivers of drilling contractors.

Exploration and administration had a system of record

keeping in place to monitor distribution at the station

and to monitor operating time of the equipment in the

field; however, the purpose was generally to do

inventory or to assure the achievement of operational

targets instead of minimizing theft.

T o put an end to the systematic theft of diesel,

several measures were taken which, put

together, significantly reduced the losses.

T he fuel station, with

the attached light-

vehicle workshop, had been the assembly point for

local staff at shift changes or during breaks. In the first

measure, access to the station was restricted to those

who needed to be there. Additionally, a security guard

was posted at the location during the day when the

station was operating. During the night, the pumps and

fuel tanks were locked with the keys kept at the

administration. For each driver to be able to collect fuel

at the station, permission was required by obtaining a

fuel-issue ticket provided by the administrative officer.

These tickets were collected by the fuel attendant and

compiled at the end of the day by the administration.

Taken alone, this measure proved inefficient because

every driver or contractor was free to request any

amount of diesel. There had been little evaluation on

whether the requested quantities were justified or not.

Particularly, the drilling operation had unreliable

patterns of consumption, depending on the ground

characteristics.

T he two existing 30,000 litre fuel tanks were

measured at the beginning and at the

end of each day by the pump attendant

and a senior security member,

the supervisor, the

guard force

commander or myself.

Each fuel delivery, scheduled roughly every

two weeks, was supervised by a senior security

member. The distribution of the fuel at the station was

recorded by a security guard using the meter at the

pump. A measure was implemented to enforce record

keeping at the gate which documented the outgoing

and incoming diesel. Security guards at the drill rigs

also recorded the quantities of diesel received and

monitored their consumption throughout the day.

Records were compared at the end of the week to

assure that the outgoing quantities corresponded to the

arriving quantities at the rigs. However, this measure

alone proved inefficient because fuel was also

consumed at remote locations where no security

guards were posted. It was not economically feasible to

post security guards at each water pump through the

bush. Escorting the fuel during the distribution of diesel

was tried but because of many drivers collecting diesel

simultaneously, a systematic escort was not feasible

without increasing security manpower.

A nother measure implemented was

dyeing the diesel. The community, not

connected to the national power grid,

used diesel in large quantities for

generators or equipment

for artisanal mining.

A colour

was chosen after consulting

other mining projects in the country. The diesel was

dyed immediately after delivery into the on-site fuel

tanks. A sample was given to the local police who

conducted random controls throughout the community

and at checkpoints. In the first few weeks following this

measure, large quantities of dyed diesel were

intercepted and returned to the company. However, the

simple recovery of diesel did not prevent its theft.

I nvestigation of suspected fuel thefts was formalized

in SOPs. Investigations consisted of compiling

records at the different control points and at the fuel

station. Further, a simulation was done to evaluate the

normal consumption of the equipment where the diesel

was suspected stolen and estimate how much may

have been stolen. Drivers were therefor requested to

report vehicle mileage at the start and at the end of

each day. Additionally, security gained access to the

records showing operating times and meters drilled

from rigs. Finally, employees were interviewed on a

large scale. These informal interviews, as part of the

enquiry, were conducted in the workplace or in a

neutral area with all senior or junior personnel at the

location of suspected theft. The interviews were

efficient in collecting important details and finding

consistencies, or inconsistencies in statements which

led to narrowing down the list of

suspects. They were also efficient

in creating staff awareness and improving a culture of

“taking-care” which in itself had a positive impact on

theft, as it visibly increased the risk for offenders.

A n issue related to record keeping was how to

identify individual drums and containers used to

transport diesel in the field. Frequently, diesel was

transported from one equipment to another if needed.

Painted labels on the drums proved inefficient as the

labels were frequently deleted ’by accident and through

spoilage’ as the diesel was being used. Tickets glued

to the drums were also inefficient and were ripped off

frequently. The issue was solved by implementing 6mm

metal seals. While the seals were not used to lock the

drums and containers, they were a very cost effective

measure to label each drum with a unique number and

to allow tracking of each drum and container through

the bush.

D isciplinary actions, implemented by human

resources (HR), also improved with the use of

more formal investigation and increased reporting of

theft which deterred

likely offenders. Except in the case of

catching a thief in the act, there may always be doubt

which can lead to challenging disciplinary actions. A

solution was to include union members in the last stage

of the investigation, once a suspect had been

identified. Suspects were invited to a formal interview at

the security office in the presence of a union member

who was ‘invited’ to participate passively so as to

decide for him or herself of the suspect’s culpability

before findings were issued in a security report to the

administration and HR. Prior to letting union members

take part in the investigation, the security inquiries had

been considered arbitrary and untransparent by the

workforce resulting in grievances and tensions. This

measure allowing union members to form their own

opinion about a theft has been very efficient in cases

where decisions to dismiss employees had not been

contested any longer.

David Klimas ● klimas.david@yahoo.co.uk ● Tel. 0032 492 84 55 80 and 00352 691 823 354David Klimas ● klimas.david@yahoo.co.uk ● Tel. 0032 492 84 55 80 and 00352 691 823 354

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