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LequteMan
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Nigeria's oil export operation have suffered a major setback following a huge crack-up of a giant underwater pipeline at the Forcados export terminal.
The pipeline, described as a big artery in the nation’s oil production reportedly suffered a huge rupture under circumstances which are at the moment still hazy.
Industry experts say repairing the pipeline might cost the country as much as 100 million dollars.
Sabotage by Niger Delta militants is completely ruled out but the same cannot be said at the moment of rogue elements within the system who are known to have in the past orchestrated similar damages in the hope of benefitting from the repairs and clean-up contracts that must follow.
Nigeria is already bleeding from the impact of low oil prices, with revenue dipping month after month.
”With export now cut as a result of the incident, oil revenue will descend even lower until the pipeline is fixed,” an insider at the NNPC said.
Precious Okolobo, Media Relations Manager of Shell, said his company was already investigating the source of a crude oil spill observed on water around Forcados Terminal on Sunday February 14.
He said the initial investigation would enable the company to quickly determine what suitable response was further needed.
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The pipeline, described as a big artery in the nation’s oil production reportedly suffered a huge rupture under circumstances which are at the moment still hazy.
Industry experts say repairing the pipeline might cost the country as much as 100 million dollars.
Sabotage by Niger Delta militants is completely ruled out but the same cannot be said at the moment of rogue elements within the system who are known to have in the past orchestrated similar damages in the hope of benefitting from the repairs and clean-up contracts that must follow.
Nigeria is already bleeding from the impact of low oil prices, with revenue dipping month after month.
”With export now cut as a result of the incident, oil revenue will descend even lower until the pipeline is fixed,” an insider at the NNPC said.
Precious Okolobo, Media Relations Manager of Shell, said his company was already investigating the source of a crude oil spill observed on water around Forcados Terminal on Sunday February 14.
He said the initial investigation would enable the company to quickly determine what suitable response was further needed.
Premium Times
