Shell asked to pay Nigeria $5 billion over Bonga oil spill

Nigeria’s oil regulator has asked industry giant Shell to pay $5 billion for the Bonga oil spill from last December.

The disclosure was made during a parliamentary hearing on the matter.

A leak at the Bonga field during a transfer of oil to a tanker led to 40,000 barrels spilling into the Atlantic Ocean.

A Shell spokesperson said there was no need for a fine as everything had been done to prevent environmental damage.

Nigeria's oil regulator has asked industry giant Shell to pay $5 billion for the Bonga oil spill

The Bonga field, operated by Shell Nigeria Exploration and Production Company (SNEPCO), is approximately 120 km (75 miles) offshore and produces 10% of Nigeria’s oil exports.

The spill was contained before it reached the shore.

The head of Nigeria’s National Oil Spill Detection and Response Agency urged MPs on the House of Representatives’s environment committee to approve his proposal.

“Although adequate containment measures were put in place to combat the Bonga oil spill, it however posed a serious environmental threat to the offshore environments,” Peter Idabor said.

“The people could not fish after a long period after the spill,” he said.

“So that’s why we are looking at the damages. If the people said they will not pay, so be it. But we want to make it very clear that it’s wrong for them to say they cannot pay. Are they denying that they spilled 40,000 barrels of crude oil into the waters?” he asked.

But Shell said it believed there no “basis in law for such a fine”.

“SNEPCO responded to this incident with professionalism and acted with the consent of the necessary authorities at all times to prevent environmental impact as a result of the incident,” a spokesperson for the Anglo-Dutch company said in a statement.

Most previous oil spills in Nigeria – one of the world’s biggest oil producers – have been onshore. Many have been caused by sabotage or militant attacks.

Last year, a UN report into spills in Ogoniland found that the region could take 30 years to recover.

In March, lawyers representing a fishing community in Ogoniland began a case against Shell in a London court over recent oil spills.

 

 

Clyde K. Valle

Clyde is a business graduate interested in writing about latest news in politics and business. He enjoys writing and is about to publish his first book. He’s a pet lover and likes to spend time with family. When the time allows he likes to go fishing waiting for the muse to come.

Recent Posts

Quincy Jones Dead at 91

Quincy Jones, the celebrated musician and producer who worked with Michael Jackson, Frank Sinatra, Ray…

5 hours ago

White House 2024: Voter Fraud Claims Flood Social Media

Misleading allegations, rumours and outright lies about voting and fraud are flooding online spaces in…

2 days ago

Spain: At Least 158 Killed In The Country’s Worst Flooding Disaster

At least 158 people have died in Spain's worst flooding disaster in generations. On October…

4 days ago

Russia Fines Google $20,000,000,000,000,000,000,000,000,000,000,000, Surpassing Global GDP

Google has been fined two undecillion (a two followed by 36 zeroes) roubles by a…

4 days ago

Financing Your Home Remodel: 7 Tips for Success

Embarking on a home remodel is an exciting journey, promising enhanced comfort, increased property value,…

2 weeks ago

Donald Trump Serves Up McDonald’s Fries While Kamala Harris Celebrates 60th Birthday with Church Choir

The US presidential candidates continued to campaign across key swing states on October 20. Footage…

2 weeks ago