This Day (Lagos)

Nigeria: Shell Cuts Output By 50,000 BPD Over Spillage

2 June 2006


Lagos — Oil major, Shell Petroleum Development Company (SPDC) has cut production in Nigeria by 50,000 barrels per day as a result of a major oil spill caused by one of its damaged trunk line in the Niger Delta area.

The company's spokesman, Mr. Bisi Ojediran told THISDAY yesterday that the company closed down four flowstations as a result of the spill at its Nembe Creek trunk line which has affected about 50,000 barrels of crude which have been shut in.

He said though the company is already investigating the real cause of the damaged trunk line, it had however dispatched experts to contain the spill to reduce its impact on the immediate environment.

Although he could not immediately say if the spill had been an accident but he ruled out the possibilities of an attack on the trunk line.

"We are already investigating the spill but I can assure you that it was not an attack. It could be anything but we have ruled out an attack on the company",Ojediran said.

Shell accounts for half of Nigeria's daily exports of 2.6 million barrels per day but militant attacks on rigs and pipelines in the Niger Delta swamps since January has cut production by 20 percent, with Shell shutting some oil pumping stations and supply pipelines.

Meanwhile, Summit Environmental Corporation has reported that its remediation efforts of a severely contaminated former oil drilling site called Elelenwa 1 near Port Harcourt, Nigeria.

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