Oil and gas group Shell is currently looking at whether it wants to continue operating in mainland Nigeria. “Discussions are ongoing with the Nigerian government about the next steps for our onshore operations in Nigeria.
We are in the initial phase of the review of the commercial options,” confirms a spokesperson after reporting in De Telegraaf.
During Shell’s last shareholders’ meeting, CEO Ben van Beurden already hinted that it was no longer confident that Shell would remain in Nigeria. He was not referring to the presence in the waters off the coast of Nigeria. Shell will stay active there.
The Anglo-Dutch company has been struggling for years with problems due to leakages and theft in Africa’s largest oil-producing country. Lawsuits have been going on for years about the impact on the environment as a result.
Earlier this year, it was announced that the Nigerian Shell subsidiary of the court in The Hague must pay compensation to several farmers in the country. The Nigerians accuse Shell that their villages in the Niger Delta have become virtually unlivable due to oil pollution. As the land became unusable and the fishing ground was lost, they also lost their livelihoods.
Shell later announced that it would appeal in cassation to the Supreme Court in the lingering case. The company said it had difficulties with the process, mainly because it lacked “proper consultation” on the matter with all parties. It has become a matter of principle. Shell also emphasized that many steps have already been taken to tackle the oil spill.
