Nigeria has lost over N200 billion in the last 11 months due to the force majeure declared by Shell Petroleum Development Company (SPDC) as a result of the vandalism of the 48-inch Forcados export line in 2016, The Guardian reports.
The Nigerian National Petroleum Corporation (NNPC) last week put the monthly loss to the damaged pipeline, which was shut down February last year at N20 billion monthly. NNPC, which made this disclosure in its December monthly report released last week, said that the production shut in has made the corporation operate at a loss every month.
The NNPC attributed its continuous monthly deficit to subsisting force majeure at Forcados and Brass Terminals and shutdown of two Nembe Creek Trunk Line (NCTL) flow stations following pipeline leakages. It listed the areas much affected by the militants’ activities to include the onshore and shallow water assets, where government stake is high. “Hence, securing onshore and shallow water locations remain a priority to restore production,” it added.