JUST IN: Court returns OPL 245 to Shell, ENI

John Tsoho, justice of the federal high court, Abuja, has reversed his order revoking OPL 245, an oil block, from Shell Nigeria Limited and Eni.

Shell and Eni had filed an application seeking the vacation of the order of interim forfeiture of OPL 245, which is considered as Nigeria’s largest oil block.

On Monday, the judge had adjourned the case to Friday after Malabu Oil and Gas filed an application to join the matter.

The Economic and Financial Crimes Commission (EFCC) had ?got an order for the forfeiture of the oil block.

The agency had asked the court to temporarily return OPL 245 to the government while it continued its investigation? of alleged corruption in the sale of the block.

But on Friday, the court reversed the order, and it also refused the application of Malabu Oil and Gas to join the matter.

In 1998, Dan Etete, who was then the minister of petroleum, had awarded the lucrative licence to Malabu, where he had stakes.

The sale to Malabu was nullified by Obasanjo in 1999 and assigned to Shell — without a public bid.

Ownership was suspiciously reverted to Malabu thereafter, leading to legal action by Shell who later resorted to negotiating directly with Etete after President Goodluck Jonathan assumed office in 2010.

A year later, the $1.3 billion deal was struck, with Malabu getting $1.1 billion from Shell and Eni to its transfer ownership, while the signature bonus was paid to Nigeria.

In the deal finally consummated in 2011, only $210 million of the $1.3 billion paid by Shell and Eni for the block went into federal government coffers as “signature bonus”.

 

Source: The Cable

EFCC files corruption charges against Shell, Eni over $1.3 billion offshore block deal

Nigeria’s anti-graft agency on Thursday filed corruption charges against oil majors Shell and Eni over a $1.3 billion offshore block deal.

The Economic and Financial Crimes Commission (EFCC) accused 11 defendants of “official corruption”, according to court documents.

Shell, Eni and Agip, Eni’s Nigerian subsidiary, are alleged to have corruptly given the “aggregate sum of $801 million” to Nigerian businessmen and politicians. This is the latest probe into the controversial 2011 oil deal that highlights endemic corruption within the sector.

Italian prosecutors are also looking into the purchase of the OPL 245 block prospecting license. OPL 245 is located in deep offshore waters in the Gulf of Guinea estimated to hold at least 9 billion barrels of crude reserves.Oil majors Shell and Eni have both denied wrongdoing.

“Eni did not do anything wrong,” said the chief executive of Eni Claudio Descalzi to the Financial Times in February.

“At every stage, we have acted in compliance with all applicable law?.?.?.?Eni and Shell paid the government of Nigeria, and were not involved with the government decision on how to use such money.”

Nigerian President Muhammadu Buhari secured a historic first win for an opposition leader when he defeated Goodluck Jonathan in the 2015 presidential elections. He campaigned on a platform to target rampant corruption and has said “mind-boggling” sums have been stolen from the public purse.

His government has arrested a series of high-ranking officials from Jonathan’s administration on corruption charges but few have been convicted.

 

Source: The Guardian

Oil spill: Ex-commissioner urges Shell to compensate Bayelsa communities

The immediate past Commissioner for Environment in Bayelsa, Mr Iniruo Wills, has appealed to the Shell Petroleum Development Company (SPDC) to compensate Bayelsa communities for the Seibou oil spillage of 2015.

Wills told the News Agency of Nigeria (NAN) in Yenagoa that Shell should adopt the industry’s best practices on the issue and compensate Keme-Ebiama and Azagbene communities.

Wills, who led a team of investigators on a visit to the site on Feb. 10, 2015, shortly after the spillage, said that the spillage was beyond the tolerable limits for oil discharge.

“I am wondering why the oil firm is reluctant to adopt best practices.

“The National Oil Spills Detection and Response Agency (NOSDRA) had also recommended compensation.

“To say that the Seibou spills, by its volume, spread and location, did not affect the host and neighbouring communities, was not correct,” he said.

NAN reports that NOSDRA had directed SPDC to compensate communities affected by the oil spillage.

The Director-General of NOSDRA, Mr Peter Idabor, had told NAN that the agency established that the spill made an impact and, therefore, recommended compensation for the victims.

On March 5, 2015, Shell confirmed spilling of some 550 barrels of crude oil into the Ogboinbiri River.

According to the company the spill was from its underwater line within its oil fields in Ogboinbiri River in Bayelsa.

However, the SPDC Spokesman, Mr Joseph Obari, was quoted as saying in a statement that the discharge of the crude on Jan. 23, 2015, had no effect on the environment.

 

Source: The Guardian

Amnesty International slams Shell ruling against Nigerian communities.

A UK High Court ruling that two Niger Delta communities devastated by oil spills cannot have their claims against Shell heard in the UK could rob them of justice and allow UK multinationals to commit abuses overseas with impunity, Amnesty International said Tuesday.

The High Court ruled on Thursday that Royal Dutch Shell cannot be held responsible for the actions of its Nigerian subsidiary Shell Petroleum Development Company of Nigeria Ltd. This is despite the company having profited from decades of abuses and environmental destruction in the Niger Delta. The communities are expected to appeal.

“The Ogale and Bille communities have been hit by multiple Shell spills, threatening their health and drinking water. The UN found groundwater contamination in Ogale was more than 450 times the legal limit – when Amnesty investigators went back four years later, Shell still hadn’t cleaned up the pollution. This ruling could mean that the communities will never receive meaningful compensation, and that the oil spills will be not be properly cleaned up,” said Joe Westby, Campaigner on Business and Human Rights at Amnesty International.

“This ruling sets an especially dangerous precedent. If it stands, then the UK Courts have given free rein to multinational companies based in the UK to abuse human rights overseas. Poor communities and developing countries will pay the price. This is a deeply depressing reminder of the impunity enjoyed by powerful corporations, and a blow to other communities in the Niger Delta who are still awaiting justice.

“We hope and expect that the court of appeal will overturn this decision to show that the UK justice system will provide remedy to impoverished communities who suffer serious abuse caused by UK corporations.”

Two Nigerian communities brought separate legal actions against Royal Dutch Shell and its Nigerian subsidiary in 2016. The first claim was brought on behalf of 2,335 people from the Bille Kingdom, a fishing community whose environment has been devastated by oil spills over the past five years.

The second claim was on behalf of the Ogale Community in Ogoniland which consists of around 40,000 people. Over several years there have been repeated oil spills from Shell’s pipelines in Ogoniland which have still not been cleaned up.

Evidence presented before the court and Amnesty International’s years of experience working on the issue show that Royal Dutch Shell, an Anglo-Dutch company, has significant direct involvement with its Nigerian subsidiary. However, Shell disputed the jurisdiction of the UK court, arguing that the case concerned Nigerian plaintiffs and a Nigerian company.

The judge today struck out the claims against Royal Dutch Shell and its Nigerian subsidiary, but gave the communities permission to file an appeal.

“The judge’s decision is blatantly at odds with how multinationals like Shell work in today’s globalized world. Too often they hide behind the legal fiction that their subsidiaries operate completely separate to them. If multinationals are allowed to reap profits from their companies around the world without being held responsible when they commit human rights abuses, then abuses can – and will – take place,” said Joe Westby.

Communities affected by oil spills in Nigeria are usually forced to negotiate directly with the company and are at a huge disadvantage, which invariably means they are cheated. For rural communities taking a claim to the Nigeria courts is extremely difficult because only federal courts can deal with oil cases and few lawyers are willing to take on the major oil companies. The rare cases that do make it to court languish for years in the Nigerian justice system with no resolution.

In January 2015 a UK law firm won a landmark settlement agreement from Shell to pay £55 million to the Bodo community in Niger Delta after the case was brought to the UK court. Shell had originally offered just £4,000 compensation. As part of these legal proceedings Shell was forced to admit it had understated – for years – the size of the oil spills.  Only the UK court process was able to bring this to light.

“It is shocking that Shell is trying to deny it is responsible for its 100% owned subsidiary. Shell has profited from decades of human rights abuse and environmental damage in the Niger Delta and both Royal Dutch Shell and Shell Nigeria should be held legally accountable,” said Joe Westby.

Background

In 2011 the United Nations Environment Programme (UNEP) documented the appalling environmental damage and oil pollution in Ogoniland. Its study described public health as seriously threatened by oil spills and said that environmental restoration of the area could prove to be the world’s most wide-ranging and long term oil clean-up exercise ever undertaken.

At the time, Shell stated it accepted the findings and the recommendations of the UNEP Report. However, a 2015 investigation by Amnesty International revealed that claims by Shell that they had cleaned up heavily polluted areas were blatantly false. Researchers observed ongoing oil pollution at four locations where UNEP found contamination – including Okuluebu in Ogale, one of the sites included in the legal claim. The Nigerian government regulator certified the area as clean in 2012, but researchers saw patches of black oil covering the ground and observed a strong smell of petroleum.

Shell In Court Over Niger Delta Oil Spills.

Royal Dutch Shell was brought to court on Tuesday, as Nigerians demand the company take responsibility for its oil spills that have environmentally devastated the Niger Delta region.

Oil spills coming from Shell pipelines and facilities have polluted the oil-rich region, threatening the livelihoods of thousands of Niger Deltans. Lawyers representing over 40,000 Nigerians in the affected areas brought two legal suits against the Anglo-Dutch company at the High Court in London.

In 2011, the United Nations Environmental Programme (UNEP) exposed the devastating effects oil spills have had on the Ogoniland region, one of the many Niger Delta communities ravaged by oil pollution. Its report revealed poor air quality, dangerously high levels of hydrocarbons in the water, and mangroves polluted with bitumen. The UNEP offered assistance to the Nigerian government to clean up the area, but said it would take 30 years or more to complete.

Today, Nigerians are hoping that Shell will be mandated to accept responsibility assist in the cleanup.

“There are strange diseases in my community – skin diseases, people are dying sudden deaths, some people are impotent,” King Emere Godwin Okpabi, traditional ruler of Ogale community, told AFP. The monarch flew to London to attend the hearing, hoping that justice will be served for his people.

Speaking with AFP, Mr. Okpabi held up a clear plastic water bottle showing contaminated water from his community. “My people are drinking this water,” he said. “I can afford to buy water. But can I afford to buy for everyone? No.”

Mr. Okpabi believes that the people of the Niger Delta have a better chance of justice being served in the United Kingdom rather than in Nigeria, where the judicial system is afflicted by corruption.

“Shell is Nigeria and Nigeria is Shell. You can never, never defeat Shell in a Nigerian court. The truth is that the Nigerian legal system is corrupt,” the traditional ruler said.

But Shell has argued that the case should be heard in Nigeria, as its Nigerian subsidiary, SPDC, is responsible for the oil spills. The oil giant will therefore challenge the jurisdiction of the British courts throughout the four-day hearing.

Shell has also pointed its finger to oil thieves and pipeline saboteurs, such as the Niger Delta Avengers, saying that these groups should be held responsible for oil pollution.

“Both Bille and Ogale are areas heavily impacted by crude oil theft, pipeline sabotage, and illegal refining which remain the main sources of pollution across the Niger Delta,” a Shell spokesperson said. She added that SPDC has not produced oil or gas in Ogoniland since 1993, and that the SPDC is supporting the cleanup process in the region.

But the plaintiffs’ attorneys have argued that Shell’s leaky pipes continue to pollute the area and therefore the company must be held responsible.

It would be recalled that Shell agreed to pay over $80 million to the Bodo community in January 2015 due to two oil spills that occurred in the region in 2008. This case was similarly heard in a London court

Shell Seeks To Block Nigeria Pollution Claims In London Court

Dutch oil giant Shell on Tuesday urged a High Court judge in Britain to block pollution claims brought against it by more than 40,000 Nigerians, demanding the case be heard in Nigeria instead.

Lawyers for the claimants are demanding action from Shell to clean up oil spills that have devastated their Niger Delta communities for decades.

But Royal Dutch Shell lawyer Peter Goldsmith told High Court of England and Wales judge Peter Fraser that the cases concerned “fundamentally Nigerian issues”, and shouldn’t be heard in London.
“The claims raise issues of Nigerian common law, customary law and legislation,” he said during the first day of the three-day hearing. “The events are said to have occurred in Nigeria and the alleged physical damage is all said to be found in Nigeria.”

Shell pointed out that the case involves its Nigerian subsidiary SPDC, which runs a joint venture with the government. Goldsmith said the case was aimed at “procuring an ‘anchor defendant’” to establish the High Court’s jurisdiction over SPDC, opening the door for further claims.

Daniel Leader from legal firm Leigh Day, which is representing the claimants, said oil spills from Shell’s pipelines had “blighted the lives of the thousands of Nigerians who live in Ogale and Bille” communities.

“It is clear to the claimants that Royal Dutch Shell is ultimately responsible for failing to ensure that its Nigerian subsidiary operates without causing environmental devastation,” he said in a statement.

“At the moment these communities have no choice — they have to take them to court to get them to act.”

King Emere Godwin Bebe Okpabi of the Ogale community told AFP his community had no option but to seek a ruling in London.

Read More:

Read more at: http://www.vanguardngr.com/2016/11/shell-seeks-block-nigeria-pollution-claims-london-court/

Yemi Alade Slays The Monochrome Look For Shell #MakeTheFuture Press Conference

Eccentric and talented artist, Yemi Alade, always stands out when it comes to what she wears. Her fashion sense is daring and edgy, aside being adorable.

Representing Africa among a team of world class artists, put together by Shell for a project hash tagged Make The Future, Yemi Alade stood out in talent and style.

Here she is rocking a Wana Sambo monochrome outfit for the #makethefuture press conference in Nairobi.

Feeling pretty in @wanasambo 
#makethefuture

Thank you @emeka143
#makethefuture

Press Conference ready ...
#makethefuture
? @wanasambo ???
Styling @arniesoupaxtar ?@ifepinkies ? @emeka143 
Natural Lighting by God 
#kenya

Polluted water in hand, Nigerian king takes Shell to court in London.

King Emere Godwin Bebe Okpabi holds up a plastic bottle containing contaminated water from his community in Nigeria, proof of oil pollution that he blames on Royal Dutch Shell — and on which he hopes a London court will deliver justice.

“My people are drinking this water,” said the tribal king of the Ogale community in the oil-rich Niger Delta.

Okpabi has flown to London for a High Court hearing on Tuesday in which lawyers for more than 40,000 Nigerians are demanding action from Shell to clean up oil spills that have devastated their communities for decades.

“There are strange diseases in my community — skin diseases, people are dying sudden deaths, some people are impotent, low sperm count,” he told AFP. “I can afford to buy water. But can I afford to buy for everybody? No.”

The Anglo-Dutch oil giant argues that the case should be heard in Nigeria, pointing out that it involves its Nigerian subsidiary SPDC, which runs a joint venture with the government, and Nigerian plaintiffs.

But Okpabi, wearing a traditional robe with a red necklace and black top hat, said the English justice system was his only hope to end the blight on his people’s lives.

“Shell is Nigeria and Nigeria is Shell. You can never, never defeat Shell in a Nigerian court. The truth is that the Nigerian legal system is corrupt,” he said.

He wants the High Court to compel Shell to implement a 2011 landmark report by the UN Environment Programme (UNEP), which warned of dangerously high levels of hydrocarbons in the water, bitumen-coated mangroves and poor air quality.

It should order the company to “go and clean-up Ogale, go and provide water for them; go and do medical history for them, and where medical attention is needed provide for them,” he said.

The king said no money would be enough to address the damage, which UNEP warned could take 25 to 30 years to resolve, but wants compensation, adding: “We are dying.”

– Sabotage –

Shell will challenge the jurisdiction of the English courts in the case during three days of hearings this week, while it also disputes the claims made by lawyers Leigh Day, who represent Ogale and the smaller Bille community.

“Both Bille and Ogale are areas heavily impacted by crude oil theft, pipeline sabotage and illegal refining which remain the main sources of pollution across the Niger Delta,” a company spokeswoman said.

She noted SPDC has not produced any oil or gas in Ogoniland, the region surrounding Ogale, since 1993.

But Okpabi and his lawyers say the company’s ageing, leaky pipelines still run through the region and it must take responsibility.

SPDC says it has delivered water and healthcare to the community and is supporting the implementation of the UNEP process by the government, which in June launched a $1 billion (£800 million, 940 million euros) oil pollution clean-up programme in the Niger Delta.

Okpabi said he believed President Muhammadu Buhari is “sincere” in wanting to address the issue, but warned: “If we wait for the system to roll on its own, I hate to say this, but it may be too late for the people of Ogale.”

Attacks on Nigerian pipelines have increased this year, cutting output and helping tip the country into recession, but Okpabi insists “there is no vandalising” in Ogale.

The king condemned the saboteurs, warning that “you cannot bomb your house to get attention”.

However, he added: “I’m also appealing to Shell and the Nigerian government to listen to those communities that are non-violent and do something.”

In January 2015, Shell agreed to pay more than $80 million to the Nigerian fishing community of Bodo for two oil spills in 2008, following a case brought by Leigh Day in London.

In December, a Dutch court permitted four Nigerian farmers and fishermen to sue the company for environmental pollution, potentially opening the door to other cases to be brought in the Netherlands.

NNPC, Shell sign MoUs with 8 Nigerian banks.

Shell Companies in Nigeria, supported by the Nigerian National Petroleum Corporation, NNPC, have signed Memoranda of Understanding (MoUs) with eight Nigerian banks under the refreshed Shell Contractors’ Support Fund, the latest milestone in efforts to improve access to finance for Nigerian vendors and suppliers in the oil and gas industry.

Under the MoUs signed in Lagos in November, Access Bank, Skye Bank, Zenith Bank, Stanbic IBTC Bank, First Bank, Standard Chartered Bank, First City Monument Bank and Guaranty Trust Bank have set aside $2.2billion for contract execution by Nigerian firms.

The scheme provides support for contractors to enable them finance projects executed for Shell Companies in Nigeria in line with the aspirations of the Nigerian Content Act. To access these funds, the contractors must have a valid purchase order and meet the banks’ risk assessment criteria. This refreshed version is in response to market realities and will offer loans faster and at cheaper rates.

“Supporting SMEs under this scheme is for the mutual benefit all the parties,” said Osagie Okunbor, Managing Director of The Shell Petroleum Development Company of Nigeria Ltd (SPDC) and Country Chair, Shell Companies in Nigeria at the signing ceremony in Lagos.

“While the scheme reduces the pressure from requests for advance payments from contractors on us, it also ensures optimum delivery by our contractors, leaving the banks with a de-risked client base in addition to the comfort of domiciliation of payments.”

The Finance Manager, Nigeria and Gabon, Guy Janssens, added that funding is key to enable contractors deliver and grow. He also urged the banks to make the scheme work.

The Managing Director, Shell Nigeria Exploration and Production Company (SNEPCo) Bayo Ojulari, advised the contractors to perform in order build trust and grow.

The Group General Manager, NAPIMS, Dafe Sejebo, who was represented by Bunmi Lawson, implored the banks to make the loan facilities available to the vendors when they come for them.

In the same vein, the Chairman of the Petroleum Technology Association of Nigeria, PETAN, Mazi Okoroafor, enjoined the banks to be realistic in their demands in order to engender easier access to the funds.

Responding, one of the contractors, Moritz Abazie of Strides Energy and Maritime Limited, requested that the rates charged should be comparable to that for credit sourced overseas so that they could fairly compete with foreign firms in bidding for jobs.

The idea of a Contractor Funding Scheme started in 2011 with the Shell Kobo Fund, which gave rise to the Shell Contractor Support Fund in 2012. The scheme has been redesigned to address the current economic exigencies and to align it with stakeholder needs by merging the two initial initiatives. To date, the six participating banks have disbursed a total of $1 billion to over 220 vendors.

In 2015, 93 per cent of all contracts awarded by Shell Companies in Nigeria were undertaken by Nigerian companies amounting to $0.9 billion.

Shell probes oil leak in Bayelsa community.

The Shell Petroleum Development Company says the source of an oil leak that polluted Otuokpoti communities in Bayelsa is being investigated.

The Medial Relations Manager at SPDC, Mr. Precious Okolobo, in a statement on Monday said that there was no oil leakage from its operations in the area.

He said, “The Shell Petroleum Development Company of Nigeria Ltd is investigating reports of a leak around Otuokpiti community waterfront situated downstream the Ekoli River, where a section of SPDC’s Nun River – Kolo Creek Pipeline is buried.

“Preliminary site visits did not indicate any spill.

“SPDC has, however, shut the pipeline as a precautionary measure pending further investigation.”

Officials of SPDC and Nigerian Agip Oil Company, at the weekend, visited Ekole Creek near Otuokpoti in Bayelsa in search of the source of oil leak in the area.

Residents of Otuokpoti community had on Wednesday reported a massive oil leak from an oil field operated in the area.

A resident of the area, Ms. Beatrice Okatubo, said on Monday in Yenagoa that officials of SPDC and Agip jointly visited the oil fields to trace the source of oil discharged into the Ekole Creek and the adjoining farmlands.

She said, “Officials of both oil firms visited Otuokpoti to investigate the source of the oil leak and it was traced to Shell but the community had claimed that the spill came from Agip’s facility.”

Ekole Creek is around Agbura and Otuokpoti communities in Ogbia and Yenagoa local government areas of Bayelsa respectively.

The residents had said the spill resulting from the leak destroyed farmlands and aquatic lives in the communities.

The residents said that crude oil deposits from the spillage, measured about five centimetres thick on the surface of the water, and had been carried away by water current.

Shell: Fire Forced Closure Of Bonny Pipeline

Shell has said fire has forced it to close a key oil pipeline feeding Nigeria’s strategic Bonny Export Terminal, which militants attacked last week.

The ongoing challenges, according to Associated Press (AP) are losing oil multinationals billions of dollars in what used to be Africa’s biggest petroleum producer.

SBM Intelligence risk analysts estimate that renewed militant attacks, low oil prices and weak refinery margins have cost Dutch-British Shell and United States-based Chevron and ExxonMobil $7.1 billion in the first half of the year, representing about 70 per cent of earnings.

Shell spokesman, Precious Okolobo, said the Trans Niger Pipeline was shut down Monday to investigate a fire.
Shell has refused to comment on reports that militants bombed its Bonny crude pipeline Friday, crippling exports days after they resumed following months of repairs from a May bomb attack.

Credit: thisdaylive

Shell Train Nigerian Youths On Power Plant Operations

The Shell Petroleum Development Company (SPDC) operated Joint Venture (JV) has trained 15 engineering graduates from host communities of the Afam VI Power Plant at Oyigbo in Rivers State on the operation and maintenance of combined cycle power plants.

 

A statement from SPDC disclosed that the youths were the second set of 30 graduates from the host communities to benefit from the initiative, which incorporates training sessions in Nigeria and the United Kingdom.

 

We can confidently say that the trainees are the best set of engineers in the Nigeria electricity industry today,” said Afam Power Project Manager, Mr. Ben Agbajogu, during a ceremony in Port Harcourt to mark the end of the one-year training.

According to him, the trainees have been adequately equipped theoretically and practically on operating and maintaining modern power plants, and can compete favourably with their counterparts anywhere in the world.”

 

The training included exposure of the graduates for 11 months at the Afam VI Power Plant, to operating and maintaining a combined cycle power plant and one-month specialised certificate training at the Osborne Training Services Newcastle, United Kingdom.

 

The member representing Oyigbo constituency in the Rivers State House of Assembly, Chisom Dike, said the initiative had become a personal dream come true, as he recalled how SPDC accepted his proposal as a youth leader about 12 years ago to train over 100 youths in various skills.

Federal Government Warns of Fraudsters In The Ogoni Cleanup

The Federal Ministry of Environment has issued a warning to the people of Ogoni and the entire Niger Delta region on the emergence of dubious individuals who will pose as Government officials, in order to extort money from communities in the Niger Delta, in the name of Ogoni cleanup.

The Ministry of Environment issued this warning through a statement signed by the Ministry’s press director, Alhaji Isiaka Yusuf. The statement reiterated that the Federal Government is undertaking the clean-up project in Ogoniland alongside other stakeholders in the oil industry, and it will not authorize any individual or group to collect money from people in the Niger Delta.

Read the full statement below.

Ogoniland Clean-up, FG Cautions against Fraudsters

“Following the Flag off of the clean-up of Ogoniland, and other oil impacted communities of the Niger Delta by President Muhammadu Buhari, the Federal Ministry of Environment has been consulting with the stakeholders in the Niger Delta with a view to ensure proper commencement of the clean-up project

However, It has come to the knowledge of the Federal Ministry of Environment that some dubious individuals may use the opportunity of the project to extort money from the unsuspecting people of the Niger Delta communities. This includes the forgery of Federal Government Agencies letters.

Without doubt, we wish to state that the Federal Government in collaboration with other stakeholders in the oil industry is funding the project. It has not and will not authorize or contract individuals, groups and or organizations to collect money from the good people of the Niger Delta on behalf of the government for the purpose of cleanup of Ogoniland and other oil impacted communities in the Niger Delta region.

In view of the foregoing, the ministry hereby warns that anybody, groups or organisations found extorting money from the people for the purpose of the Ogoniland cleanup project will be made to face the full wrath of the law

The General public is therefore requested to report anybody, group and or organization, collecting money from people for the cleanup exercise to the police or any other law enforcement agency.

The ministry, therefore, takes this opportunity to reiterate the Federal Government’s commitment in ensuring the transparent and successful cleanup of Ogoniland,’’

In a related development, Guardian Newspapers reports that the lack of funds may stall the actual start of the clean-up.

A source who is said to be from one of the oil companies was quoted by Guardian in the report, saying that there is no money currently set aside by the Federal Government, or any oil company for the clean-up.

“It is the joint venture partners that are supposed to come up with 90 per cent of the funding. It is not factual that any oil company has kept money aside to fund the cleanup. For the government there is implication for funding, NNPC has to come up with its share of the funding. There is no $1 billion anywhere that Shell has kept,” the source said.

Guardian also reports that the Ministry of Environment’s 2016 budget does not make any provision to cover the clean-up.

At the weekend, the Federal Government approved 23 members of Governing Council and Board of Trustees for the Cleanup. The members are expected to be inaugurated on Thursday.

Shell Shuts Trans Niger Pipeline As Avengers Strikes Again

The Niger Delta Avengers (NDA) group said it had bombed an ExxonMobil facility in southern Nigeria just as Shell announced closure of a key oil pipeline, in the latest blow to output.

“At about 7:30 pm (1830 GMT) the Niger Delta Avengers blow up ExxonMobil Qua Iboe 48? crude oil export pipeline,” the NDA, which has been blamed for a string of attacks on key oil and gas facilities since February, said in a statement late Monday.

The militants said international oil majors had defied its calls for a halt to exports. AFP contacted ExxonMobil but there was no immediate response. The Niger Delta Avengers wants foreign oil companies out of the delta region, arguing local people have failed to benefit from decades of extraction that has generated billions of dollars.

It also wants self-determination and political autonomy for the region. The upsurge in unrest has reduced output in oil-rich Nigeria at a time the country is reeling from low global crude prices that have hammered government revenues.

Credit: Vanguard

 

Shell Probing New Claim Of Nigeria Pipeline Attack

Shell’s Nigerian subsidiary said on Friday it was investigating a claim by the Niger Delta Avengers that it had struck another pipeline in the restive oil-producing south.

“We are investigating reports of an attack on our pipeline in the western Niger delta,” Shell Petroleum Development Company (SPDC) spokesman Precious Okolobo told AFP, without elaborating.

The Niger Delta Avengers (NDA), blamed for a wave of bombings on Nigeria’s oil infrastructure since the beginning of the year, earlier claimed responsibility for the attack.

“At 3:00 am today (0200 GMT Friday), @NDAvengers blow up the SPDC Forcados 48? export line,” it said on its Twitter account.

The attack was carried out because Shell had refused to heed earlier warnings not to repair the pipeline, which was damaged in February, it added.

The NDA, which says it is seeking a fairer share of Nigeria’s oil wealth for the Niger delta people, has asked oil majors to leave the region.

It has also attacked facilities operated by US firm Chevron, Italy’s Eni and the state-run Nigerian National Petroleum Corporation (NNPC).

The army said on Thursday that six people, including two soldiers, were killed when militants attacked a boat belonging to the NNPC in the region, but the NDA denied involvement.

Credit: Guardian

Nigeria Loses 400,000bpd As Shell Declares Force Majeure

With the declaration of force majeure on Bonny Light exports by Shell Petroleum Development Company of Nigeria Limited, about 400,000 barrels per day of Nigeria’s production has now been shut in.

Force majeure is a legal clause that allows an oil firm to stop shipments without breaching contracts.

The oil major said in a statement signed by its spokesperson, Mr. Bamidele Odugbesan, on Wednesday that the force majeure took effect from Tuesday, May 10, 2016.

It said the decision came as a result of a leak that led to the closure of the Nembe Creek Trunk line for repairs by the operator, Aiteo Eastern E & P Company Limited.

The SPDC did not disclose the cause of the leak in the statement.

Shell had in February declared force majeure on liftings from the Forcados export terminal following the disruption in production caused by the spill on its subsea crude export pipeline.

A group named Niger Delta Avengers claimed responsibility for the attack on the Shell oil pipeline, which shut down the 250,000bpd export terminal.

Commissioned in 2010, the 100-km NCT feeds the Bonny export terminal, and the disruption will affect the loading of seven cargoes, representing a combined volume 217,000 bpd. It has a capacity of 600,000 bpd, according to Shell’s website.

The halt in Bonny Light loadings comes less than a week after Chevron said 35,000 bpd of its Nigerian net crude production had been halted by an attack on its offshore Okan facility, and three months after Shell suspended production at Forcados.

If all Bonny Light production is cut, it will bring output to below 1.5 million bpd for the first time since September 1994, according to Energy Information Administration data. Nigeria exports almost all its production.

 

Credit : Punch

Shell Faces Fresh Nigeria Pollution Claims In London

Oil giant Royal Dutch Shell came under renewed scrutiny on Wednesday over its environmental record in Nigeria after lawyers brought fresh claims of damage caused by spills to a London court.

 

British legal firm Leigh Day has filed two cases at the High Court in a bid to force the Anglo-Dutch energy major to clean up damage caused in the communities of Ogale and Bille in the Niger Delta, Nigeria’s main oil-producing region, and provide compensation. In Bille, the lawyers hope to prove that Shell is liable for failing to protect its pipelines from damage caused by third parties, which, they said, could mark a “significant expansion” in the firm’s liability.

 

A 2011 report by the United Nations Environment Programme found that decades of oil pollution in Ogoniland region, where Ogale is located, may require the world’s biggest ever clean-up. Leigh Day says that Shell, historically Nigeria’s largest producer, has failed to act on the report despite its promises — a claim that was also levelled last year by Amnesty International.

 

The lawyers argued in a press statement that the 40,000-strong Ogale community continues to live with “chronic levels” of land and water pollution, which has had a devastating impact on its farming and fishing. In hearings expected to take place later this year, Shell will argue that the two cases should be heard in Nigeria, not in Britain, according to a spokesman for the company’s Nigerian subsidiary, SPDC.

 

He added that both Bille and Ogale are areas “heavily impacted” by oil theft, sabotage and illegal refining, activities which Shell has long argued are the main causes of pollution in the Niger Delta. In Ogoniland, he said the company was acting on the UN report through an 18-month clean-up and remediation programme agreed last year with the Nigerian government and community members.

 

Chima Williams, of Environmental Rights Action (ERA)/Friends of the Environment, a Nigerian environmental rights lobby group, said the response to the UN report did not address the issue of compensation.

 

“This is why the London suit is very important at this point. It will bridge the gap in terms of helping the people of Ogoniland to get off the ground and have their lives back,” he told AFP. Shell agreed in January 2015 to pay more than $80 million to the Nigerian fishing community of Bodo for two serious oil spills in 2008, following a three-year legal battle brought by Leigh Day in London.

 

A Dutch court also ruled in December that four Nigerian farmers demanding compensation and a clean-up in four heavily-polluted Niger Delta villages can bring a case against the energy giant in the Netherlands.

 

Credit : Vanguard

Falling Oil Price: Shell To Sack 10,000 Workers

Following the downward slide of oil price in the International market, international oil firm, Royal Dutch Shell says it is cutting down on 10,000 jobs. Chief Executive of the company, Ben van Beurden, said this in a webcast on its 2015 fourth quarter and full year results yesterday Feb. 4th

“We are making substantial changes in the company, as we refocus Shell, and respond to lower oil prices. As we have previously indicated, this will include a reduction of some 10,000 staff and direct contractor positions in 2015-16 across both companies.” he said.

Shell Gives N15m To 21 Youths As Business Grants

The Shell Petroleum Development Company (SPDC) has given 21 youths, who graduated from its LiveWire Entrepreneurship programme, N15 million to share as a means to starting their businesses.

SPDC’s General Manager, External Relations Igo Weli said this at the 2015 Graduation and Award Ceremony for 21 beneficiaries of its sponsored LiveWIRE programme.

Weli said that 14,000 candidates in Niger Delta applied for the 2015 LiveWIRE programme out of which 150 youths were selected after a rigorous screening exercise.

“LiveWIRE is a programme designed to provide opportunities for young people in our host communities to realise their potential through creation and development of their own businesses.

“The programme gives youths access to entrepreneurial training, business development services as well as start-up capital for youth-owned businesses.

“This exercise, which started in 2003, has trained and empowered over 6,000 Niger Delta youths who have employed many youths in the area.

“Out of the 6,000 that this programme has trained, 3,000 of these trainees were assisted to set up their businesses through business start-up awards,’’ he said.

Weli added that no fewer than 40 people had been employed by trainees who graduated from its LiveWIRE programme in 2014.

According to him, the 2014 LiveWire graduates have made a combined profit of about N10 million excluding their capital.

He said that SPDC was committed and dedicated to developing youths in its host communities.

The Most Innovative Award prize winner, Mrs Gladys Nwabueze, said the programme equipped her with requisite knowledge and skills and handed her tools with which to work.

Nwabueze said the skills would enable her open up a sanitary pad company targeted at low-income earners.

“Sanitary pad is like a luxury to a lot of women hence I’ve developed a pad that will be affordable for use for everyday woman,’’ Nwabueze said.

 

(NAN)

Shell’s Claim On Niger Delta Pollution Blatantly False– Amnesty International

Multi-national oil company, Shell, lied when it claimed it had cleaned up heavily polluted areas of the Niger Delta, Amnesty International and the Centre for Environment, Human Rights and Development (CEHRD) said in a new report published on Tuesday.

The report titled, “Clean it up: Shell’s false claims about oil spills in the Niger Delta”, documents ongoing contamination at four oil spill sites that Shell said it had cleaned up years ago.

Amnesty said the report was published to mark the 20th anniversary of the execution of the environmental activist and writer, Ken Saro-Wiwa.

Mr. Saro-Wiwa, who campaigned relentlessly against damage caused to the Ogoni area of Rivers State, was executed by the Sani Abacha junta on November 10, 1995.

“By inadequately cleaning up the pollution from its pipelines and wells, Shell is leaving thousands of women, men and children exposed to contaminated land, water and air, in some cases for years or even decades,” said Mark Dummett, Business and Human Rights researcher at Amnesty International.

“Oil spills have a devastating impact on the fields, forests and fisheries that the people of the Niger Delta depend on for their food and livelihood. Anyone who visits these spill sites can see and smell for themselves how the pollution has spread across the land,” he said.

Credit: PremiumTimes

How Shell’s Oil Spill Destroys Our Livelihood- Nigerian Farmers

Some farmers affected by the April 15 oil leak from Shell Petroleum Development Company, SPDC’s Kolo Creek oil fields in Otuasega, Bayelsa, have complained over alleged neglect by the company.

They told the News Agency of Nigeria in Otuasega on Sunday that the team on a Joint Investigation Visit, JIV, to the oil spill sites did not visit their farms affected by the oil spill.According to the farmers, they made efforts to draw the attention of the team to their farms but to no avail. Florence Ako, whose plantain farm is near the Kolo Creek manifold, said that the crude oil from the manifold spread into her farm and damaged the crops,. “The damage caused by the oil on our farmlands, is visible for all to see and this is happening so close to the harvest time,” she said.

“It is on this farm that I and my husband depend, to feed and train our children in school; my husband’s farm on the other side was equally affected.

“Unfortunately the JIV team did not come to this side and we came around to show them our farms but they did not listen to us.

“They have abandoned the oil residues and there was no oil recovery and clean-up done here.”

Corroborating his wife’s statement, Olei Ako said his banana and plantain plantations were affected. He said that they had reported their plight to the Bayelsa Government and appealed that it prevailed on the oil company to clean up their farms.A fish farmer, Badigigha Igbodo, said the spill, which contaminated his fish pond and others belonging to his colleagues, wiped out all the fish.

According to Mr. Igbodo, the spill had destroyed the means of livelihood of over 50 farmers in the area. Reacting to the complaints, Iniruo Wills, the Bayelsa Commissioner for Environment, said that the state government would verify the reported exclusion of some impacted sites. “We have to verify the information and if it is true that the impacted area was larger than what was originally captured, we shall find a way of addressing these concerns.

“Nobody can hide under the cover of technicalities to say that an area that is really affected, will not be captured,” Mr. Wills said.

However, Precious Okolobo, Head of Media Relations in SPDC, said that the oil firm stood by the report of the JIV team, which stated that the spill was as a result of sabotage. Mr. Okolobo maintained that when a spill was caused by sabotage, the oil company was not liable to compensate for the loss. “Under Nigerian oil and gas regulations, the JIV determines the cause and impact of spill incidents.

“The investigation team which visited the site of the Kolo Creek spill on April 16, concluded that it was caused by sabotage,” he said.

Read More: premiumtimesng

Shell Denies Shutting Down Operations Over Presidential Polls Result

The Management of Shell Petroleum Development Company of Nigeria (SPDC) has denied reports that it shut down its flow stations in Bayelsa owing to fears of attack by aggrieved militants.

The SPDC’s spokesperson, Mr Joseph Obari, told News Agency of Nigeria (NAN) on Friday that the operations of the oil firm were running but declined further details.

“Our operations are continuing and we will not comment on security issues.”

The reports had alleged that the oil firm acted to forestall attacks by militants aggrieved by Jonathan’s loss in the March 28, 2015 presidential polls.

Tunu, and Bensede Kussi flow stations operated by SPDC in  Southern Ijaw and Kolokumo/Opokum Local Government Areas Bayelsa were allegedly shut down due to security concerns.

However,  NAN sources at the Tunu flow station within SPDC’s oil fields in Bayelsa confirmed that the facility was shut down for operational reasons.

The source, who pleaded for  anonymity, said that the shutdown had nothing to do with anticipated attack by militants.

“Tunu flow station was shut down for operational reasons not because of threat by ex-militants.

“Can we not shut down for operational reasons, what is the big deal if Tunu station is closed down for operational reasons ?.

“I cannot understand why they are eager to drag Shell into all these.

Oil Spill: Shell to Pay Ogoni Community N16.6bn

The Shell Petroleum Development Company of Nigeria Limited, SPDC, yesterday said it has agreed to pay the Bodo Community in Ogoniland, Rivers State, the sum of £55 million (about N16.6 billion) (N300 to £1) as compensation for damages caused by two oil spills in 2008.

Shell said in a statement made available to Vanguard that the bulk of the money, about £35 million will, be paid to individuals who agree on the settlement terms, while the balance of £20 million will be for the benefit of the general community.

According to Shell, “… a £55 million settlement agreement with the Bodo community in respect of the two highly regrettable operational spills in the area in 2008. “The £55 million settlement provides for an individual payment to each claimant who accepts the settlement agreement in compensation for losses arising from the spills, amounting to up to £35 million in total.

“The remaining £20 million payment will be made for the benefit of the Bodo community generally.”

Read More: www.vanguardngr.com

Shell says 2008 Nigeria Spills Bigger than Thought

Royal Dutch Shell said Thursday that two 2008 oil spills in Nigeria were larger than earlier thought, ahead of a compensation court case in England’s High Court.

 The Anglo-Dutch energy giant’s Nigerian arm said in a statement that the spills had been greater than the previously-reached total figure of 4,144 barrels.

Lawyers bringing a compensation bid for 15,000 members of Nigeria’s Bodo community have in the past claimed the spills could be as large as 600,000 barrels.

Shell did not give a revised figure but a spokesman said the volume would not be a “key issue” in determining compensation. The compensation case is expected to be heard at the High Court in London next year. The two sides failed to agree a compensation deal in 2013.

Leigh Day, the legal firm for the Bodo community, says the local environment was devastated by the two spills, depriving thousands of subsistence farmers and fishermen of their livelihoods.

“From the outset, we’ve accepted responsibility for the two deeply regrettable operational spills in Bodo,” said a spokesman for the Shell Petroleum Company of Nigeria (SPDC).

“We want to compensate fairly and quickly those who have been genuinely affected and to clean up all areas where oil has been spilled from our facilities.”

He said that following the spills, a team involving government agencies, the SPDC and representatives from the Bodo community visited the sites and completed a joint investigation.

“They estimated that the total volume of oil spilled was in the region of 4,144 barrels,” the spokesman said.

“As part of the litigation process, we asked satellite remote sensing experts, hydrologists and specialists in mangrove ecology to assess how the Bodo waterways and mangroves were impacted and other relevant information addressing the question of the volume of these spills and the extent of the damage.

“Having reviewed their findings, we accept that the total volume of oil released as a result of the two operational spills is likely to have exceeded the joint investigation visit estimates.”

SPDC was prepared to compensate all members of the Bodo community who have been “genuinely” affected by the spills, the spokesman said.

Nigeria is Africa’s biggest crude producer, but much of the Niger Delta oil region remains deeply impoverished.

Decades of spills have caused widespread pollution in the region.

Last year, Leigh Day claimed independent experts had estimated the two spills in the cluster of fishing communities in Rivers state to have been between 500,000 and 600,000 barrels.

Human rights group Amnesty International, citing an independent assessment published by US firm Accufacts Inc., claimed that the total amount of oil in the first spill exceeded 100,000 barrels.

Shell has “dramatically underestimated the spills,” said Audrey Gaughran, Amnesty’s director for global issues.

Credit: Yahoo News