How Bayelsa Explosion Cut Agip’s Daily Output By 30,000 Barrels

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Following the recent gas explosion that rocked its oil field in Bayelsa, the Nigerian Agip Oil Company (NAOC) on Thursday said the attack has adversely affected its crude export to the tune of 30,000 barrels daily.

The New Diplomat had reported that vandals blew up oil facilities operated by Shell Petroleum Development Company (SPDC) and NAOC at Ikarama community, Yenagoa Local Government Area of Bayelsa on November 20.

The incident has put the cumulative production shut in at 180,000 at the field pending when the breached pipelines are fixed.

According to a NAN report, the management of Eni, parent company of NAOC said the oil firm had declared ‘Force Majeure’ on oil exports from its Brass Oil Export Terminal to absolve the company from liabilities arising from factors beyond its control.

Eni said preliminary checks at the facility indicate that the vandals used explosives in the attack which blew up two vital pipelines, leading to shutdown of oil production from the field.

“We confirm two sabotage events by means of explosive devices, which damaged two pipelines in the swamp area in the night between Friday 20th and Saturday 21st.

“Production was stopped immediately after the event; consequently the emergency response team has been mobilised and able to contain the spill with booms few hours later.

“Repair activity, oil spill recovery and clean-up are ongoing.

“Full production resumption is estimated in one week time.

“Impact on production is estimated at 30,000 barrel of oil equivalent daily (boed) of which Eni’s share amounts approximately to 6,000 boed.

“Force majeure was declared on Brass terminal to notify contractually the export tankers about the delays in the lifting schedule of about one week on the original plan.

“Regulatory agencies and Government security agencies have been notified and are investigating,” Eni stated.

Meanwhile the Nigerian Security and Civil Defense Corps (NSCDC) said its preliminary findings indicated that the attack was carried out by vandals.

Mrs Christiana Abiaka-Omanu, State Commandant of NSCDC in Bayelsa said investigation into the incident was already underway, noting that a statutory Joint Investigative Visit (JIV) including all stakeholders would soon be carried out on the damaged facilities.

'dotun Akintomide
'dotun Akintomide
'Dotun Akintomide's journalism works intersect business, environment, politics and developmental issues. Among a number of local and international publications, his work has appeared in the New York Times. He's a winner of the National Youth Service Corps (NYSC) Award. Currently, the Online Editor at The New Diplomat, Akintomide has produced reports that uniquely spoke to Nigeria's experience on Climate Change issues. When Akintomide is not writing, volunteering or working on a media project, you can find him seeing beautiful sites like the sandy beaches that bedecked the Lagos coastline.

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