Another setback for Nigeria as Shell shuts Trans Niger pipeline

Shell Petroleum Development Company

Nigeria’s oil production suffered another reversal on Monday as Shell Petroleum Development Company (SPDC) shut its 180,000 barrel-per-day Trans Niger pipeline.

The company said in a statement that it shut the pipeline on July 21 after a leak at B-Dere, Ogoniland.

SPDC said it did not yet know the cause of the leak.

Reuters noted that Shell declared force majeure on Bonny Light exports earlier this month after the closure of the Nembe Creek Trunk Line by operator Aiteo, the only other export avenue, but until last week loadings continued via the Trans Niger Pipeline.

The shut of the pipeline will stop the August exports of Bonny Light originally been planned at more than 200,000 bpd, according to Reuters.

The company said efforts are ongoing for a joint investigation visit to determine the cause of the leak and repair of the pipeline.