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Energy major Shell Plc paid $5.34 billion to the Nigerian government in 2024, the largest amount it remitted to any country, even as it continues to divest from its onshore oil operations in Africa’s largest crude producer.

According to data released in Shell’s annual “Payments to Governments” report, a regulatory disclosure required under UK law, Nigeria topped the company’s global list of government recipients last year, ahead of countries such as Oman, Brazil and Norway.

The figure represents a sharp increase from the $3.8 billion Shell paid to Nigeria in 2023.

Breakdown of Shell’s 2024 payments to Nigeria 

Shell’s total remittance of $5.34 billion to Nigeria in 2024 was disbursed across multiple federal institutions and agencies involved in petroleum revenue administration and regional development.

The largest share of over 71%  went to the Nigerian National Petroleum Corporation (NNPC), amounting to $3.8 billion.

A breakdown of the payments is as follows: 

  • Nigerian National Petroleum Corporation (NNPC): $3,804,949,166
  • Federal Inland Revenue Service (FIRS): $648,734,398
  • Nigerian Upstream Petroleum Regulatory Commission (NUPRC): $781,963,813
  • Niger Delta Development Commission (NDDC): $97,260,899
  • National Agency for Science and Engineering Infrastructure (NASENI): $3,931,917

The payments form part of the $28.1 billion Shell disbursed globally in 2024 to governments for extractive activities, a 5% year-on-year decline in total payouts that mirrored a broader drop in profitability.

  • According to the company’s 2024 report, $3.8 billion of the $5.34 billion remitted to Nigeria came from production entitlements — the government’s share of crude oil output under joint venture and production sharing contracts.
  • An additional $648.7 million was paid in taxes, while royalties accounted for $770.2 million. Fees and other statutory charges totalled approximately $102 million.
  • Project-level data show that the East Asset, one of Shell’s key production hubs, attracted the largest share of entitlements, with $1.3 billion in payments. Oil Mining Lease (OML) 133 accounted for $136.6 million, predominantly in taxes.
  • Meanwhile, a cluster of licences — OML 212, OML 118, OML 135, and Oil Prospecting Licence (OPL) 219 — together attracted $1.4 billion in payments across production entitlements, taxes, royalties, and fees, underlining the fiscal weight of Shell’s upstream footprint in Nigeria.

Comparative global payments 

Beyond Nigeria, Shell also paid a total of $28 billion to Government where it operates

  • Oman received the next largest share after Nigeria, with about $4.3 billion,n while Brazil, Qatar and Norway received $4.5 billion, $3.33 billion and $3.38 billion, respectively
  • African Countries on the list received smaller amounts of with Egypt, Sao Tome and Principe, Tanzania and Tunisia getting $43 million, $1.3 million, $140,000 and $29.3 million only.
  • In contrast, Shell received a $32 million refund from the UK government, tied to decommissioning costs at the Brent field and other North Sea assets.

That figure was down from the $43 million refund received in 2023.

Revenue implications for Nigeria 

Shell has operated in Nigeria for more than eight decades but is now exiting its onshore oil business following years of operational setbacks, community disputes, oil spills, and rising environmental liabilities in the Niger Delta.

The company has described its divestment strategy as a move to “simplify the portfolio” and support its long-term ambition to become a net-zero emissions energy company by 2050.

However, it has committed to retaining its deepwater oil and gas operations in Nigeria, which it considers more aligned with lower-carbon energy goals.

What you should know 

In March 2025, the House of Representatives summoned 48 oil companies operating in Nigeria to appear before its Committee on Public Accounts, in a series of investigative hearings probing a combined debt of N9.4 trillion.

  • Companies summoned include major industry players such as Shell Nigeria Exploration and Production Company, Chevron Nigeria Ltd, Total E&P Nigeria, Seplat Energy, Oando Oil Ltd, and Mobil Producing Nigeria Unlimited, among others.
  • The committee’s probe follows findings in the Auditor-General’s Annual Report on the Consolidated Financial Statement for the year ending December 31, 2021.
  • Also in March this year, Nigeria Extractive Industries Transparency Initiative (NEITI) announced a review of divestments involving 26 oil blocks worth $6.03 billion by five International Oil Companies (IOCs), citing the need for transparency and due process in these transactions.

The transactions include significant deals such as Shell’s $2.4 billion sale to Renaissance, ExxonMobil’s $1.28 billion transfer to Seplat, and TotalEnergies’ $860 million sale to Chappal.

NEITI explained that these divestments were reshaping Nigeria’s oil and gas industry, making it crucial to ensure they are conducted transparently and in line with regulatory standards.

 

Nairametrics

Nigerian oil firm Renaissance Energy has halted production on one line feeding into the Trans Niger oil pipeline, a major oil artery transporting crude from onshore oilfields to the Bonny export terminal, following an operational incident, it said on Friday.

An environmental rights group said on Thursday that the pipeline burst on May 6 and spilled oil into the local B-Dere community in Ogoniland, the second such incident affecting the pipeline in two months.

The halted pipeline goes through B-Dere community to join the Trans Niger Pipeline.

Nigerian oil consortium Renaissance Group, which now owns Shell's former onshore subsidiary that operates the pipeline, "immediately isolated the pipeline and halted production into the line", Michael Adande, spokesperson for Renaissance said.

"With co-operation from the B-Dere community, our experts accessed the site, clamped the pipeline and recovered spilled oil, with clean-up preparations now underway," Adande said.

Renaissance said a team of investigators had confirmed that the incident was an operational one.

The Trans Niger Pipeline (TNP), with a capacity of around 450,000 barrels per day, is one of two conduits that export Bonny Light crude from Nigeria, Africa's biggest oil producer.

 

Reuters

The Federation Account Allocation Committee (FAAC) has distributed ₦1.68 trillion to Nigeria's three tiers of government as federation allocation for April 2025, reflecting a ₦110 billion increase from March's ₦1.57 trillion distribution.

This announcement came following FAAC's May meeting chaired by Wale Edun, Minister of Finance and Coordinating Minister of the Economy. The allocation was derived from a total gross revenue of ₦2.848 trillion, comprising statutory revenue, Value Added Tax (VAT), Electronic Money Transfer Levy (EMTL), and exchange difference.

Distribution Breakdown

The allocation was distributed as follows:

- Federal Government: ₦565.30 billion

- State Governments: ₦556.74 billion

- Local Government Councils: ₦406.62 billion

- Oil-producing States (13% derivation): ₦152.55 billion

Additionally, ₦101.05 billion was allocated for collection costs, while ₦1.06 trillion was designated for transfers, interventions, and refunds.

Revenue Sources

VAT revenue showed improvement, increasing to ₦642.26 billion from March's ₦637.61 billion—a growth of ₦4.64 billion. After deductions for collection costs and transfers, the remaining ₦598.07 billion was distributed among the three government tiers.

Statutory revenue received a significant boost, reaching ₦2.084 trillion—₦365.59 billion higher than the previous month. After deductions, ₦962.88 billion was distributed to the three levels of government.

The EMTL contributed ₦38.86 billion to the total allocation, while exchange differences added another ₦81.40 billion.

Mohammed Manga, Director of Information and Public Relations at the Ministry of Finance, noted that petroleum profit tax, oil and gas royalty, VAT, EMTL, excise duty, import duty, and CET levies all showed significant increases, though company income tax recorded a decline.

The Finnish government has formally charged Simon Ekpa, a Nigerian-Finnish citizen and controversial pro-Biafra activist, with terrorism-related offences. The charges, filed on Friday at the Päijät-Häme District Court in Lahti, include “public incitement to commit a crime with terrorist intent” and “participation in a terrorist group.”

Jukka Rappe, Finland’s Deputy Prosecutor-General, confirmed that the case stems from Ekpa’s secessionist activities linked to the push for an independent Biafra state in Nigeria’s South-East. Ekpa, who resides in Lahti, is accused of using social media and other online platforms to spread separatist propaganda, incite violence, and promote terrorism.

The Finnish authorities allege that between August 2021 and November 2024, Ekpa contributed to violence and crimes against civilians in Nigeria through his online campaigns. The charges are also tied to suspicions of illegally raising funds in violation of Finland’s Money Collection Act. The investigation, led by Finnish police in collaboration with Nigerian authorities, marks the first case of its kind in Finland, according to Rappe.

Ekpa, 40, was arrested on 21 November 2024 along with four others. While he was remanded by the Päijät-Häme court for spreading terrorist propaganda, the other suspects were later released after preliminary investigations. Ekpa is believed to be the leader of the “Autopilot” faction of the proscribed Indigenous People of Biafra (IPOB), although the main IPOB group loyal to Nnamdi Kanu has publicly disowned him.

Despite Finland’s legal action, Nigeria’s Attorney-General of the Federation, Lateef Fagbemi, recently stated that the federal government has not yet initiated formal extradition proceedings against Ekpa.

No court date has been set yet for the trial.

Deadly Israeli strikes pound Gaza, Trump says 'people are starving'

Israeli strikes on Gaza have killed more than 250 people since Thursday morning, local health authorities said on Friday, one of the deadliest phasesof bombardment since a truce collapsed in March, with a new ground offensive expected soon.

U.S. President Donald Trump, who ended a Middle East tour on Friday with no apparent progress towards a new ceasefire as Israel steps up its military campaign, acknowledged Gaza's growing hunger crisis and the need for aid deliveries.

"We have to help also out the Palestinians. You know, a lot of people are starving in Gaza, so we have to look at both sides," he said. When asked if he backed Israel's war plans, Trump said he expected "good things" over the next month.

Friday's air and artillery strikes were focused on the northern section of the tiny, crowded enclave, where dozens of people including women and children were killed overnight, said Gaza Health Ministry spokesman Khalil al-Deqran.

Israel has intensified its bombardment and built up armoured forces along the border despite growing international pressure for it to resume ceasefire talks and end its blockade of Gaza, where warnings of famine are growing.

Just before midnight on Friday, the Israeli military said that during the last day forces began launching extensive strikes and transferring forces to seize control over areas within the Gaza Strip.

It said the escalation was part of the initial stages of what it said was "Operation Gideon's Wagons" to expand the battle in the enclave "with the aim of achieving all the war's objectives, including the liberation of the kidnapped soldiers and the defeat of Hamas.

Prime Minister Benjamin Netanyahu said on May 5 that Israel was planning an expanded, intensive offensive against Hamas as his security cabinet approved plans that could involve seizing the entire Gaza Strip and controlling aid.

An Israeli defence official said at the time that the operation would not be launched before Trump concluded his visit to the Middle East, which was expected to end on Friday.

Israel's declared goal in Gaza is the elimination of Hamas, which attacked Israeli communitieson October 7, 2023, killing around 1,200 people and seizing about 250 hostages.

Its military campaign has devastated the enclave, pushing nearly all inhabitants from their homes and killing more than 53,000 people, according to Gaza health authorities, while aid agencies say its blockade has caused a humanitarian crisis.

Heavy strikes were reported on Friday in the northern town of Beit Lahiya and in the Jabalia refugee camp, where Palestinian emergency services said many bodies were still buried in the rubble.

Israel dropped leaflets on Beit Lahiya ordering all residents to leave, whether they lived in tents, shelters or buildings. "Leave southwards immediately," the leaflets read.

Residents said Israeli tanks were advancing towards the southern city of Khan Younis.

Israel's military said its air force had struck more than 150 military targets across Gaza.

STRIKES

In Jabalia, men picked through a sea of rubble following the night's strikes, pulling out sheets of metal as small children clambered through the debris.

Around 10 bodies draped in white sheets were lined up on the ground to be taken to hospital. Women sat crying and one lifted a corner of a sheet to gaze at the dead person's face.

"Where should I go today? To west Gaza? There's bombing in west Gaza. To the south? They're killing people in Khan Younis. To Deir al-Balah? There is bombing. Me, my children and my family, where should we go?" said Fadi Tamboura, sitting crying next to a crater left by an overnight strike.

Ismail, a man from Gaza City who gave only his first name, described a night of horror. "The non-stop explosions resulting from the airstrikes and tank shelling reminded us of the early days of the war. The ground didn't stop shaking underneath our feet," Ismail told Reuters via a chat app.

"We thought Trump arrived to save us, but it seems Netanyahu doesn't care, neither does Trump."

Israel has faced increasing international isolation over its campaign in Gaza, with even the United States, its staunchest ally, expressing unease over the scale of the destruction and the dire situation caused by its blockade on deliveries of food and other vital aid.

On Thursday, U.S. Secretary of State Marco Rubio said Washington was "troubled" by the humanitarian situation.

Netanyahu has dispatched a team to Doha to take part in ceasefire talks with Qatari mediators, but he has ruled out concessions, saying Israel remains committed to defeating Hamas.

The Hostages and Missing Families Forum, which represents some of the families and supporters of the 58 hostages still held in Gaza, said Israel risked missing a "historic opportunity" to bring them home as Trump wound up his visit to the Middle East.

"We are in dramatic hours that will determine the future of our loved ones, the future of Israeli society, and the future of the Middle East," the group said in a statement.

 

Reuters

RUSSIAN PERSPECTIVE

Russia’s top negotiator outlines key outcomes of Istanbul talks

Russia’s chief negotiator at the Ukraine peace talks in Istanbul, Vladimir Medinsky, has delivered a statement following the first direct peace talks between Moscow and Kiev in three years. The discussions on Friday lasted for nearly two hours.

Medinsky announced a major prisoner exchange, acknowledged Kiev’s request for a meeting involving Ukrainian leader Vladimir Zelensky and Russian President Vladimir Putin, and confirmed that both sides will soon present detailed proposals for a potential ceasefire, after which the negotiations will continue.

Here is the full text of Medinsky’s statement: 

Dear colleagues,

Direct negotiations with the Ukrainian side, organized at the initiative of the president of Russia, have just concluded. Overall, we are satisfied with the outcome and are ready to continue contacts.

Here is what was agreed:

First – in the coming days, a large-scale prisoner exchange will take place, 1,000 for 1,000 people.

Second – the Ukrainian side requested direct talks between the heads of state, and we have taken this request into account.

And third – we agreed that each side will present its vision of a possible future ceasefire, outlining it in detail. Once these visions are presented, it has been mutually agreed that it would be appropriate to continue our negotiations.

 

WESTERN PERSPECTIVE

Europeans and Zelenskiy agree Russian stance is 'unacceptable', Starmer says

The leaders of Britain, France, Germany and Poland agreed on Friday with Ukrainian President Volodymyr Zelenskiy that Russia's position in peace talks was "unacceptable" and also consulted with U.S. President Donald Trump, British Prime Minister Keir Starmer said.

The first direct peace talks between Russia and Ukraine in more than three years took place in Istanbul on Friday.

They lasted well under two hours, with no apparent sign of progress so far in narrowing the gap between the sides, and a Ukrainian source called Moscow's demands "non-starters".

Starmer made his comments in a brief joint statement with French President Emmanuel Macron, German Chancellor Friedrich Merz and Polish Prime Minister Donald Tusk at a European Political Community summit in Tirana, Albania.

Starmer said the leaders had met with Zelenskiy - who is also at the summit - to discuss the Istanbul talks and had also had a call with Trump.

"The Russian position is clearly unacceptable, and not for the first time," Starmer said.

"And so as a result of that meeting with President Zelenskiy and the discussion with President Trump, we are now closely aligning and coordinating our responses and will continue to do so," he said.

The leaders did not take any questions from reporters.

 

RT/Reuters

In many parts of our hinterland—and even in our cities—sudden death is often attributed to what the Yoruba call apepa—a mystical demise believed to be caused by malevolent forces who summon a person’s soul from afar. One is said to have been “called,” their life abruptly and mysteriously ended.

This belief, though deeply rooted in our culture, has often led to misplaced blame, suspicion, and years of acrimony among families and communities. But as our understanding of health improves, we must face the truth: most of these sudden deaths are not spiritual—they are medical. Preventable. Manageable. Treatable.

Conditions like undiagnosed hypertension, cardiac arrest, stroke, diabetes, and stress-induced breakdowns are responsible for many of these tragedies. These are not tales from the otherworld; they are the outcomes of neglect, fatigue, and silence.

Just recently, two heartbreaking incidents reminded us again of this painful reality.

In Abeokuta, Mrs. Bukola Agbakaizu, a well-loved broadcast journalist with Ogun State Television, reportedly slumped and died at her desk, in the line of duty. Known for her diligence and grace, she died doing what she loved. That alone makes her loss all the more devastating.

Much earlier, we received the shocking news of Kunle Akinyele, a retired Customs Chief and respected hotelier in Lagos, who slumped and died at the thanksgiving reception for his wife’s 60th birthday. What was meant to be a celebration of life turned into an unspeakable tragedy.

Both were strong, accomplished individuals. Their deaths have left a painful void—not just in their families but in the communities they served and inspired. And yet, their stories are also a warning. A call to awareness. A call to action.

This past weekend, I found myself crisscrossing towns in the Southwest—attending weddings, funerals, chieftaincy celebrations, and birthdays. I wanted to show support, be present, fulfill obligations. But by Sunday evening, I was completely drained. And I asked myself: At what cost?

At our age—particularly for those of us over 45—this constant movement, this inability to say no, this drive to be everything to everyone, is no longer sustainable. Our bodies send us quiet signals before they give way. The question is: Are we listening?

What we must begin to do, urgently and deliberately:

1. Know Your Numbers: Monitor your blood pressure, blood sugar, and cholesterol regularly. These are silent killers.

2. Annual Health Checks: Schedule a comprehensive medical exam at least once a year. Prevention is cheaper than cure.

3. Prioritize Rest: Even machines break down from overuse. Sleep, rest, recharge.

4. Exercise Wisely: A 30-minute daily walk or light stretches go a long way in preserving heart health.

5. Eat with Care: Cut down on salt, sugar, and processed foods. Let food be your medicine.

6. Hydrate Constantly: Dehydration contributes to fatigue, headaches, and other health complications.

7. Decline with Grace: Not every invitation must be honored. Choose health over appearances.

8. Seek Emotional Support: Talk. Share. Don’t bottle stress or pain. It’s not heroic to suffer in silence.

We must also begin to educate our communities: not all sudden deaths are spiritual attacks. Many are the result of long-ignored symptoms, dangerous habits, and avoidable delays. We must trade superstition for science, suspicion for support, and myth for truth.

Let me share a personal experience that brought this home even more starkly.

A friend of mine had been battling diabetes for years. Instead of seeking proper medical care, he relied heavily on herbs. About three weeks ago, he visited me, and I noticed he looked unwell. I pressed him for answers, and not satisfied with what I heard, I gave him money to go for a medical check-up. He didn’t go.

Days later, I couldn’t shake the feeling that something was wrong. I sent one of my aides to check on him. To my horror, he had been moved—not to a hospital—but to a relative’s house in a dire state. We searched for him, found him on the brink of death, and rushed him to the hospital. Thankfully, with the swift intervention of Dr. Ariyo and his team at the Ekiti State University Teaching Hospital, he was stabilized and is still on admission today. He is alive—but only just.

That story could have ended differently—like so many others we have mourned.

This message is for the middle-aged and aging among us, for caregivers, professionals, leaders, and public servants who carry the world on their shoulders. It is also for our traditional and cultural custodians, who must begin to champion wellness as urgently as they do tradition.

Let us honor the memories of Bukola Agbakaizu and Kunle Akinyele—not only by mourning but by heeding the warning their passing represents. Let their lives and their loss awaken us to the fragility of life and the power of timely care.

May their souls rest in perfect peace. And may we, the living, make a solemn commitment today to care more intentionally for the only body we have.

A Greek woman decided to divorce her husband of 12 years after ChatGPT told her he was having an affair, simply by “reading” the coffee grounds in his coffee cup.

OpenAI’s ChatGPT chatbot is great for a lot of things, but it can ruin your life if you blindly put your trust in it. One Greek man recently appeared on the Greek TV morning show To Proino to complain about ChatGPT destroying his marriage by painting him as an adulterer simply by interpreting the coffee grounds in a cup of coffee he had posed with for his wife. Allegedly following a social media trend, the man’s wife thought it would be fun to have the world’s most popular chatbot “read” their coffee cups in a sort of modern twist on the art of tasseography. She made coffee for both of them and then uploaded photos of the grounds in their cups for ChatGPT to “read”. The chatbot claimed that the woman’s husband was having an affair with another woman, which made his wife furious enough to file for divorce without even asking him if it was true.

“I laughed it off as nonsense,” the husband said on the show. “But she took it seriously. She asked me to leave, told our kids we were getting divorced, and then I got a call from a lawyer. That’s when I realized this wasn’t just a phase.”

According to ChatGPT, the man was fantasizing about a mysterious woman whose name started with the initial “E”,  and with whom he was destined to begin a relationship. To make matters worse, the chatbot’s interpretation of the wife’s coffee cup revealed that her spouse was already cheating and that this mystery woman was hell-bent on destroying their family.

After he refused to agree to a separation, the poor husband was served divorce papers just three days later. However, his lawyer warned that they would contest the divorce actions because the claims made by an AI chatbot have no legal standing, and his client was innocent until proven guilty.

Apparently, the woman is very sensitive to divinatory practices. The husband said that a few years ago, she visited an astrologer and became obsessed with astrology. “It took a whole year for her to accept that none of it was real,” the man said.

After the bizarre divorce case went viral in Greece, seasoned tasseography practitioners explained that reading into a cup of coffeeinvolves more than the grounds. Masters of the trade also analyze the foam and the saucer, and ChatGPT is definitely not a master.

 

Oddity Central

According to the National Bureau of Statistics (NBS), Nigeria's headline inflation rate decreased to 23.71% in April 2025, down from 24.23% recorded in March 2025, marking a 0.52% drop month-on-month.

The April 2025 inflation figure also represents a significant year-on-year decrease of 9.99% compared to April 2024's rate of 33.69%, though this comparison involves a different base year.

On a month-on-month basis, the headline inflation rate was 1.86% in April 2025, which is 2.04% lower than March 2025's rate of 3.90%, indicating a slower pace of price increases.

Food Inflation Declines

Food inflation stood at 21.36% on a year-on-year basis in April 2025, showing a substantial 19.27% decrease from April 2024's rate of 40.53%. The NBS attributes this significant decline primarily to the change in the base year used for calculations.

Month-on-month food inflation in April 2025 decreased to 2.06%, down by 0.12% from March's 2.18%. According to the NBS, this decrease resulted from lower prices for staples such as maize flour, wheat grain, dried okra, yam flour, soybeans, rice, and various beans.

Regional Variations

The NBS report highlighted significant regional differences in food inflation rates:

- Highest year-on-year food inflation: Benue (51.76%), Ekiti (34.05%), and Kebbi (33.82%)

- Lowest year-on-year food inflation: Ebonyi (7.19%), Adamawa (9.52%), and Ogun (9.91%)

- Highest month-on-month food inflation: Benue (25.59%), Ekiti (16.73%), and Yobe (13.92%)

- Some states recorded declines in month-on-month food inflation: Ebonyi (-14.43%), Kano (-11.37%), and Ogun (-7.06%)

Consumer Price Index and Other Metrics

The Consumer Price Index (CPI) rose to 119.52 in April 2025, a 2.18-point increase from the previous month. The percentage change in the average CPI for the twelve months ending April 2025 over the previous twelve-month period was 28.5%, showing a 0.4% increase compared to April 2024.

Urban inflation stood at 24.29% (year-on-year), 11.71% lower than April 2024's 36.00%, while rural inflation was 22.83%, down 8.81% from 31.64% in April 2024.

Background on Nigeria's Economic Challenges

Nigeria has experienced sharp increases in food prices in recent years, a trend that worsened in 2023 following President Bola Tinubu's removal of petrol subsidies and adoption of a floating exchange rate for the naira. These policies led to steep increases in staple food costs, pushing many Nigerians further into poverty and heightening food insecurity.

In response to the crisis, Tinubu declared a state of emergency on food insecurity in July 2023 and later suspended duties, tariffs, and taxes on essential food imports including beans, wheat, and husked brown rice to combat rising prices.

This latest decline in inflation offers potential relief after prolonged economic pressure on Nigerian households.​​​​​​​​​​​​​​​​

Nigeria's Trans Niger Pipeline, a major oil artery transporting crude from onshore oilfields to the Bonny export terminal, burst and spilled oil into the local B-Dere community in Ogoniland, an environmental rights group said on Thursday.

This is the second incident affecting the Trans Niger Pipeline in two months. In March, the pipeline was shut after a blast that caused a fire.

Nnimmo Bassey, executive director of Health of Mother Earth Foundation, said the spill, which occurred on May 6, was yet to be stopped, adding that the slow response showed a lack of care for the people and was "unconscionable."

"We are in a disaster zone and further disasters can erupt from even an accidental spark of fire," he said. "The fact that this spill that happened a week ago is yet to be stopped sends a very strong point to why the government should focus on cleaning up Ogoniland and not seek to open new oil wells. The old wells should be shut down, and decommissioned."

Ogoniland, one of Africa's earliest crude oil producing areas, has been dealing with oil pollution for decades, but its profits have often flowed to the big oil companies and to Nigerian state coffers. Local residents have long complained of toxic waste and little compensation.

Nigerian oil consortium Renaissance Group, which now owns Shell's former onshore subsidiary that operates the pipeline, confirmed the explosion and said a team of investigators has been dispatched to determine the cause of the spill.

The Trans Niger Pipeline (TNP), with a capacity of around 450,000 barrels per day, is one of two conduits that export Bonny Light crude from Nigeria, Africa's biggest oil producer.

It was not immediately clear whether the TNP was shut. TNP did not immediately provide a statement when asked for comment. A prolonged outage could, however, force its operators to declare force majeure on Bonny Light exports.

Pipeline sabotage and crude theft are some of the major reasons that forced oil majors like Shell, Exxon Mobil, Total and Eni to sell their onshore and shallow-water fields in Nigeria to concentrate on deep-water operations.

Renaissance Group, which includes Nigerian exploration and production companies Aradel Energy, First E & P, Waltersmith, and ND Western, along with the international energy group Petroline, completed the acquisition of Shell's former onshore assets in March.

 

Reuters

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