Financial Energy Review
Italian oil company Eni on Sunday announced the resumption of crude and gas exports in southern Nigeria after a blast last week.
The explosion and a spill on March 14 cut exports of 25,000 barrels per day (bpd) of crude and gas from Eni’s Brass terminal in southern Bayelsa state.
A force majeure was then declared by the company’s local subsidiary, Nigerian Agip Oil Company (NAOC).
Force majeure is a clause that allows a company to skip contractual obligations following issues beyond its control.
An Eni spokesman said the company had now completed repairs of the damaged pipeline.
“Following the restoration of the Ogoda/Brass 24″ oil pipeline at Okparatubo… force majeure has been lifted at Brass terminal, Bonny NLNG and Okpai Power,” he said in a statement.
The company said the blast was the second after an incident on February 28 at its Obama flow station led to a production shortfall of 5,000 bpd.
Pipeline vandalism, sabotage and theft from Nigeria’s southern oilfields and pipelines are very common.
