Connect with us

Oil and Gas

Shell Closed Down Two Major Pipelines Over Leaks and Sabotage



Shell, a major oil giant in Nigeria has closed down two key supply pipelines owing to leaks and sabotage and has declared a “force majeure” on exports of crude oil.

SPDC, a subsidiary of Shell in Nigeria disclosed in a statement the force majeure took effect from Thursday “following the shutdown of both the Trans Niger Pipeline (TNP) and Nembe Creek Trunkline (NCTL).”

The pipelines that were closed down transport crude to the exports terminal of Bonny Light.

SPDC disclosed that there was a reported leak on the TNP at Oloma in Rivers state, “While the NCTL is shut down for the removal of crude theft points.”

Shell also revealed they are working on the pipelines rectification and reopening as soon as possible.

“Force majeure” is a legal term that liberates a company from contractual responsibilities whenever such company encounters unbearable circumstances.

However, the total volume of output this incident affected was not disclosed in Shell’s statement but the company has adduced constant oil thefts and sabotage of major pipelines as factors causing spills and pollution in the oil-producing area and these factors account for an estimated loss of $6 billion revenue loss by Nigeria annually.