Tuesday, 3 May 2016

Federal Government institutes N1.3trn suit against Shell over Bonga oil spills

The federal government has instituted a N1.3 trillion law suit against Shell Nigeria Exploration and Production Company for the Bonga oil spills which created ecological and environmental challenges for coastal communities in Delta and Bayelsa states.

PM News reports that the federal government is instituting the suit against Shell on behalf of 350 communities in Delta and Bayelsa states affected by Bonga Oil spills of 20 December 2011.

Among other claims, the government is demanding for N884 billion as compensation for oil spillage that destroyed the affected communities. The Nigerian government is also demanding for another sum of N495 billion as restitution and restoration of the devastation of the economic zone of the Nigeria territorial water and N50 million as cost of this legal action. 

According to Vanguard, co-defendants in suit are Shell Petroleum N.V, B.V Netherlands International Indusrie-E Handel Maatschappij, Shell Transport and Trading Company Plc, and Royal Dutch Shell Plc, who are all allied companies of Shell Nigeria Exploration and Production Company. 

The suit against the companies has the backing of President Muhammadu Buhari as stated by counsel to the plaintiffs, Awosika Adekunle, in an affidavit sworn to by a Deputy Director, Oil Field Assessment Department of National Oil Spill Detection and Response Agency, NOSDRA, Mr. Akindele Olubunmi in the suit.

Awosika Adekunle stated that the plaintiffs brought the suit for themselves in relation to damage and devastation done to the exclusive economic zone, ecosystem, marine life, and the environment caused by Bonga crude oil spills of December 20, 2011.

Source- PM News, Vanguard

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