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Business

Shell in Nigeria oil spill compensation talks

Published: 07 Sep 2013 - 01:38 am | Last Updated: 30 Jan 2022 - 03:52 pm


A view of creeks and vegetation devastated as a result of spills from oil thieves and Shell operational failures in the Niger Delta.


LONDON: Shell is to begin compensation talks with thousands of Nigerian villagers who say their livelihoods were ruined by two massive oil spills in the Niger Delta, the energy giant said yesterday.

The talks will start next week in Port Harcourt, the capital of Nigeria’s southern Rivers state and the hub of Africa’s largest oil industry, the Anglo-Dutch company said.

About 15,000 residents of Bodo, a cluster of fishing villages in Rivers State, are seeking millions of dollars of compensation over the 2008 spills.

“We’re hopeful that an acceptable agreement can be reached with the Bodo community during next week’s settlement negotiations in Nigeria,” a Shell spokesman said.

Lawyers acting for the villagers say the local environment was devastated by the two spills, depriving thousands of subsistence farmers and fishermen of their livelihoods.

Experts estimate the spills to be between 500,000 and 600,000 barrels, according to London-based law firm Leigh Day, which is representing the Nigerians.

Shell admitted liability for the spills in 2011 but disputes the amount of oil spilled and the extent of the damage.

“To date nothing has been paid in compensation and no clean-up work has begun,” Leigh Day said.

The Nigerians’ lawyer Martyn Day described Shell’s position on the clean-up as “pitiful”.

AFP