Thursday, June 10, 2010

Nigeria: Shell Pays U.S.$4 Million to Oil Spill Victims

Mohammed Shosanya

Lagos — Shell Petroleum Development Company of Nigeria Limited[SPDC]has said that 103,000barrels of oil was spilled by saboteurs from its facilities in 2009.

The development came as the multinational oil company also said it paid over $4million compensation last year to communities damaged by its oil spill as well as providing clean water and food to affected communities

The exercise which occurred in 95 incidents accounted for 98percent of the volume of oil spilled during the year, the company's Chair and Managing Director,Mutiu Sunmonu said.

According to him, most of the oil was spilled in two incidents including a 78,000 barrels lost at Odidi field in Delta state which occurred when thieves were trying to steal from a well head.

He said a further estimated 18,500 barrels was spilled in the second major incident on the TransEscravos Pipeline which was attacked by saboteurs who set off five explosive devices along the line.

Besides,he said about 2,300 barrels were spilled in 37 incidents in the company due to operational failures like corroded pipelines, equipment failure and human error.

"More than 72,000 barrels of spilled oil was recovered in clean-up operations. Community activities delayed SPDC access to more than a quarter of the spills holding up work for over 300days," he adds.

He further said the company's remediation teams are up and doing to correct impacted sites of oil spill, adding that last year, Shell remediated and certified 143 spill sites.

He stated that another 439 sites remain in various stages of completion.

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