Oil delta burns with hate

Levels of thuggery that once seemed acceptable to major oil firms operating in the Nigerian delta are now spilling over into widespread, vicious attacks. Will murder and kidnapping force them to pull out of the country altogether?

Fears are growing from investors, oil workers and agencies working in the Niger delta that the escalating violence may force the four major oil companies – Royal Dutch Shell, Chevron, Exxon and ENI – to close onshore operations.

..Shell relies on Nigeria for 11 per cent of its global output. But it has suffered four attacks in recent weeks and had to cut production in the delta by 10 per cent. Now some Shell insiders are privately questioning how secure its operations are and to what extent it can rely on production there. Shutdowns would not only hurt the revenues of oil majors but also threaten a surge in oil prices.

The Observer