Shell Declares Force Majeure On Gas Supplies To Nigeria

Shell-petroleumShell Petroleum Development Company has declared force majeure (FM) on gas supplies to the Nigeria Liquefied Natural Gas (LNG) export facility on Bonny Island.

“The Shell Petroleum Development Company of Nigeria Ltd (SPDC) declared force majeure on gas supply to NLNG on 8 August 2016, following a leak on the Eastern Gas Gathering System (EGGS-1) pipeline through which it supplies the bulk of its gas to NLNG,” a spokesman told Reuters in an emailed statement.

SPDC, Royal Dutch Shell’s Nigerian unit, is a joint venture with state oil company Nigerian National Petroleum Corporation (NNPC). They supply gas to the LNG plant.

The declaration may impact exports from the facility, which is situated near Port Harcourt, Rivers State.

“The pipeline has been shut down for a joint investigation visit into the cause of the leak and repairs,” the spokesman said, adding that SPDC continues to supply gas to the facility through other pipelines.

NLNG, set up 16 years ago to export gas, is owned by NNPC, Shell, Total and Eni.

It has the capacity to produce 22 million tonnes of LNG a year and has long-term supply contracts with Italy’s Enel , Shell, France’s Engie SA and Portugal’s Galp, among others. It also sells on the spot market.

Down more than two-thirds from 2014 levels, spot LNG prices have been rising in recent months due to production outages in Angola and Australia.

The rally ran out of steam last week and prices declined sharply as Chevron’s Gorgon LNG project resumed production, but potentially lower output from Nigeria LNG may again tighten supply.

NNPC Gas Pipeline In Niger Delta Attacked

Pipeline-vandalismA gas pipeline in Nigeria’s Niger Delta region operated by the Nigerian National Petroleum Corporation (NNPC) has been attacked.

The attack occurred late on Thursday, according to a spokesman for a local community group and a witness.

The pipeline, which connects the Escravos oil terminal to Warri, supplies gas to different parts of the country.

There have been a resurgence in militant attacks in the oil-rich southern region in the last few weeks, with strikes on pipelines and oil facilities.

A group that calls itself the Niger Delta Avengers has claimed responsibility for most of them.

Reuters quoted a spokesman for the Ijaw Youth Council, as saying the attack occurred around the village of Ogbe Ijoh, near Warri.

Local resident, James Dadiowei, said a “loud bang” at the NNPC pipeline had thrown the community into panic on Thursday night.

“The explosion occurred last night on the pipeline belonging to the NNPC,” said Omare.

A spokesman for the NNPC was unable to confirm the attack.

Sabotage Of Oil Installations

It is not clear if the gas pipelines provides gas to any electricity company.

But recent attacks on gas pipelines have been blamed for the nation’s current poor power situation, as the nation of over 160 million people share a capacity that is below 4,000 megawatts.

President Muhammadu Buhari had earlier on Friday in Abuja assured oil companies operating in the Niger Delta that the Federal Government was taking all necessary actions to protect strategic assets in the region from vandals and criminals.

He spoke at a meeting with the Global Director (Upstream) of the Royal Dutch Shell Group, Mr Andrew Brown.

The President told the oil giant that he had directed the Chief of Naval Staff to reorganise and strengthen the military Joint Task Force  in the Niger Delta to deal effectively with the  resurgence of militancy and the sabotage of oil installations.

FG Receives Repentant Niger Delta Militants 

Niger DeltaThe Federal Government will be receiving about 7,000 repentant militants in Akwa Ibom State on Saturday, January 23, 2016.

The Special Adviser to the President on Niger Delta and Co-ordinator of the Amnesty Program, Retired Brigadier-General Paul Boroh said that the repentant militants declared their interest to disarm and join the Niger Delta Amnesty programme.

He was speaking to journalists after an inter-agency meeting to discuss the recent attack on pipelines in the Niger Delta.

General Boroh added that the ex-agitators have also declared their willingness to be involved in plans to ensure the security of pipelines and oil facilities in the region.

The Minister of Niger Delta Affairs, Pastor Usani Ugure, had earlier hosted an inter-agency meeting, where strategies on how to counter the attacks on oil facilities were discussed.

Warri Pipeline Explosion

Facilities belonging to the Nigeria Gas Company, Chevron Nigeria Limited and Nigeria National Petroleum Company, NNPC were blown up by suspected militants on Friday, January 15 in Warri South-West Local Government Area of Delta State.

This has forced the Nigerian National Petroleum Corporation, NNPC, to announce the operational shutdown of the Port Harcourt and Kaduna Refineries owing to crude supply challenges arising from the attacks on vital crude oil pipelines.

Both the Nigerian Army and the Navy have described the attack as sabotage and terrorism which will not be tolerated.

The JTF Commander of Operation Pulo Shield in the Niger Delta, Major-General Alani Okunola, said that the task force had mobilised men to apprehend those who attacked the oil facilities.

He also warned community leaders that they would be held responsible for any attack on the country’s oil and gas facilities in their domains.

The Chief of Naval Staff, Vice Admiral Ibok-Ete Ibas, while condemning the act, promised that no efforts would be spared in securing the lives and property of the citizens.

He also proposed the establishment of special courts and tribunals to tackle crimes in the maritime sector.


Defence Minister Arrives Warri To Inspect Pipeline Explosion Site

pipeline explosionThe Minister of Defence, Brigadier-General Mansur Dan-Ali (Rtd) has arrived at the Osubi Airport in Warri, Delta State for an on-the-spot assessment of oil facilities which exploded a few days ago.

On arrival, he moved to the 3 Battalion, Nigerian Army barracks for the guard of honour and a brief interaction with the troop.

On hand to receive the Minister was the Chief of Defence Staff, Gen. Abayomi Olonisakin; the Commander, Operation Pulo Shield, Major General Alani Gafar Okunola; Brigade Sector 1 Commander, Brigadier General Fanola Yahaya and the Flag Officer Commanding, Central Naval Command, Rear Admiral A.O Sulaiman.

Representing the State Governor was the Secretary to the State Government, Ovie Agas, amongst other high ranking military officers and top government functionaries.

The JTF Commander of Operation Pulo Shield in the Niger Delta, Major-General Alani Okunola, had earlier inspected the site of the pipeline explosion.

He said that the task force was closing in on those responsible for blowing up oil pipeline and other facilities belonging to some oil companies and the Nigeria National Petroleum Company, NNPC.

He described the Friday attack in Warri South-West local government area of Delta State as economic sabotage which the military would not tolerate.

Warri Pipeline Explosion: Army Vows To Arrest Perpetrators

PipelineThe military says it has begun the deployment of troops in Delta State to apprehend those who attacked oil facilities in the state recently.

The Joint Task Force (JTF) described the Friday attack in Warri South-West local government area of Delta State as economic sabotage.

The JTF Commander of Operation Pulo Shield in the Niger Delta, Major-General Alani Okunola, said that the task force is closing in on those blowing up oil pipelines belonging to the Nigeria Gas Company, Chevron Nigeria Limited and Nigeria National Petroleum Company, NNPC.

While inspecting the site of the pipeline explosion, Major-General Okunola also warned community leaders that they would be held responsible for any attack on the country’s oil and gas facilities in their domains.

“There is no way we will fold our hands and allow the criminals to get away with it.

“It is a massive sabotage and critical to national assets; we must fish out those responsible for it.”

He described the act as not only criminal but capable of undermining the national security of Nigeria, adding that the pipeline vandals were able to carry out the act only because there were no men of the JTF on ground in the area.

The JTF boss visited the explosion site in company of the Brigade Commander, Farouk Yahaya and the Commander, 3 Battalion, Igwe Omoke.

Other top ranking officers of the Police, Navy, Nigerian Security and Civil Defense Corps (NSCDC) and Air Force were part of the inspection team.


NSCDC Discovers Damaged Pipeline In Kwara

The Kwara State Command of the Nigeria Security and Civil Defence Corps (NSCDC) has discovered a damaged oil pipeline where petroleum product is being siphoned and also impounded 200 fully loaded 30 litre jerry cans.

The state commandant of NSCDC, Yerima Gana, while briefing journalists, said the hoodlums could not be arrested as they fled on sighting his men during the raid.

A visit to the scene shows how pipes were inserted into the damaged pipeline and being fed into the jerry cans while the state commandant appealed to residents close to where pipelines are located to always report any suspicious movement to relevant security agencies.

Mr Gana informed that his men while in surveillance and patrolling Oshin community in Ilorin west local government area discovered gully erosion where vandals used to siphon crude oil from oil pipelines.

The discovery around 12midnight he added led to the impounding of two vehicles loaded with 200 30 litres jerry cans ready for transportation to an unknown location.

While the 18 seater Toyota Hiace bus with registration number XL 607 BDG Lagos was filled with the jerry cans, the Mercedes Benz car also contained the equipment used in carrying out the nefarious act.

Vandals Bust Another Pipeline In Lagos

Suspected pipeline vandals have breached a petroleum product pipeline belonging to the Nigerian National Petroleum Corporation (NNPC) in Epe.
This was disclosed to Channels Television in a telephone interview with the Commandant of the Nigeria Security and Civil Defence Corps (NSCDC), Shem Obasheye.

Vandalized pipeline

“My boys told me that they were going to Epe, and actually when they got to Epe, the pipeline at Epe has been busted. The vandals ran away,” he said.

Officials of the Civil Defence Corps according to Mr Obasheye recovered eleven 50 litres containing of PMS at the scene of the busted pipeline. He however said none of the vandals were apprehended.

No fewer than three suspected oil thieves were last Saturday killed after an NNPC pipeline was gutted by fire at Arepo, Ogun state south west Nigeria. The fire is suspected to have been caused by activities from vandals in the area.

The fire occured at the same spot where vandals operated last August and three NNPC engineers were killed by suspected vandals in the process of fixing the pipeline and putting out the fire.