Shell resumes oil pumping in Nigeria

27 Dec, 2005

Oil giant Shell said Monday that while pumping had resumed after a pipeline explosion in southern Nigeria, the company was still losing 35,000 barrels a day and could not yet guarantee to honour commitments.
Limited production had already begun Saturday in the affected part of the Niger Delta, but the Anglo-Dutch firm maintained a state of force majeure, a measure allowing oil firms to breach their supply contracts in very serious situations.
A Shell spokesman, who asked not to be named, told AFP that the shortfall was "down to 35,000 barrels per day only", but at the height of the crisis when a pipeline exploded on December 21, it was 180,000 barrels a day, meaning a cut of seven percent in oil supplies from Africa's main producer.
At least eight people were killed in communities hit by the blast and it took fire crews and engineers three days to put out the blaze after turning off oil feeding it from flow stations, finally putting out the inferno on Friday.
"Force majeure is still in force," the spokesman said Monday, "although there have been loading (of crude for export) at Bonny terminal. Force majeure has to be formally lifted, it might happen when the remaining delayed loadings are done."

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