Good Company

Good Company
Good Company

Monday, February 15, 2010

Nigeria: Militant Attack Reduce Oil Exports

Reported as Militant attacks to hit Nigerian March oil output :
Nigerian crude oil exports are expected to fall in March following oil pipeline attacks, traders said on Wednesday, suggesting a recent recovery in output has stalled.
The amnesty deal that the militants had seems up in the air with the president of Nigeria off in Saudi Arabia getting medical treatment and thus the attacks are back.


For those who don't remember, another referral to the EIA here:
The Nigerian economy is heavily dependent on the oil sector which, according to the World Bank, accounts for over 95 percent of export earnings and about 85 percent of government revenues. The oil industry is primarily located in the Niger Delta where it has been a source of conflict. The industry has been blamed for pollution that has damaged air, soil and water leading to losses in arable land and decreasing fish stocks. Local groups seeking a share of the oil wealth often attack the oil infrastructure and staff, forcing companies to declare force majeure on oil shipments. At the same time, oil theft, commonly referred to as “bunkering” leads to pipeline damage that is often severe, causing loss of production, pollution, and forcing companies to shut-in production.

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