Shell declares force majeure on Nigerian pipeline

ABUJA, August 7, 2015 – A pipeline leak in Nigeria has caused Shell to declare force majeure on gas supplies, a company spokesperson said Thursday.

The oil major halted gas flow on the Eastern Gas Gathering System 1 pipeline, which normally supplies gas company Nigeria LNG’s export terminal. The gas is being funnelled to Nigeria LNG via Shell’s alternative lines as part of the super-major’s joint venture with state oil company Nigerian National Petroleum, so production has not been affected.

Located on Bonny Island in Rivers state, the Nigeria LNG export terminal receives feed gas to supply its oilfields in the Niger Delta and can produce 22 million tonnes of LNG per year.

The force majeure has been effective since August 4 while Shell completes its investigation on the cause of the leak. The company has yet to mention the location of the leak on the pipeline. Saboteurs and oil thieves in Nigeria are commonly responsible for halts to production and leaks.

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