Port Harcourt, Nigeria | – The Shell Petroleum Development Company of Nigeria (SPDC), a subsidiary of Royal Dutch Shell has declared force majeure on gas supplies to Nigeria’s LNG export terminal on Bonny Island in Rivers State due to a pipeline leak, a spokesman for the company said on Thursday.
“Shell declared force majeure on gas supplies from SPDC to NLNG (Nigeria Liquefied Natural Gas Company), effective August 4,” spokesman Precious Okolobo said, adding that the company was investigating the cause of the leak.
SPDC is Shell’s Nigerian joint venture with state oil company, the Nigerian National Petroleum Corporation (NNPC).
Tony Okonedo, a spokesman for NLNG, said that exports had so far been unaffected but that the company was discussing potentially rescheduling some shipments with its customers.
NNPC holds a 49 percent stake in NLNG and the remaining 51 percent is owned by multinational oil majors Shell, Total and Italy’s Eni.
It can produce 22 million metric tonnes of liquefied gas per year and has long-term supply contracts with buyers in Italy, Spain, Turkey, Portugal and France and also sells on the spot market.