Shell shuts Nigeria oil pipeline

  • Shell’s Nigeria unit shut down a key pipeline damaged by fire on Sunday.

    The fire is believed to be an attempt to steal crude, which could affect around 150,000 barrels of oil per day.

    Shell "shut the 28-inch Bomu-Bonny Trunkline after discovering a fire on it early this morning (Sunday)," a statement said.

    "A burning vessel, thought to be involved in the theft of crude oil from the line, was sighted near the incident site ... Some 150,000 barrels of oil per day is deferred."

    The incident took place near the Okololunch community in the eastern Niger Delta, Nigeria’s oil-producing region.

    Nigeria is Africa's largest oil producer. In recent years, the theft of oil to sell on the black market has been a growing problem.

    Shell estimates that 150,000 barrels of oil and condensate are stolen in the country every day.

    Nigeria currently exports more than two million barrels per day.