Shell Nigeria declares force majeure on oil export
LAGOS, Nigeria (AP) - Shell Nigeria declared "force majeure" on Friday on exports of Bonny Light Crude oil, blaming oil thefts that have forced the closure of its major Trans-Niger Pipeline at least five times in three months.
The announcement of "superior force" was effective from noon on Thursday, after Shell reported three new leaks on the pipeline. One was caused by multiple holes drilled into the pipeline, it said.
The declaration gives Nigeria's biggest oil producer some legal protection against contractual obligations.
Shell said it has repaired 189 crude theft points this year on the Trans-Niger Pipeline and the Nembe Creek Trunkline that carry a daily total of 300,000 barrels of crude - at least 15 per cent of the production of Africa's biggest oil producer.