Nembe Creek Trunk Line

From Global Energy Monitor
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Nembe Creek Trunk Line is an oil pipeline in Nigeria.[1]

Location

The pipeline runs from Nembe Creek to Bonny Oil Terminal, Nigeria.

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Project Details

  • Operator: Aiteo Group[1]
  • Current capacity: 600,000 barrels per day
  • Proposed capacity:
  • Length: 97 kilometers
  • Status: Operating
  • Start Year: 2010

Background

Nembe Creek Trunk Lin is a 97 kilometre, 150,000 barrels of oil per day pipeline constructed by Royal Dutch Shell Plc and situated in the Niger Delta region of Nigeria.[2] Trunk Line is one of Nigeria’s major oil pipelines that transports crude from the Niger Delta to the Atlantic coast for export.[3]

The construction of the pipeline was begun in 2006 and commissioned in 2010 at a cost of US$1.1 billion. It was built by the Shell Petroleum Development Company of Nigeria Ltd Joint Venture (SPDC), comprising Total E&P Nigeria Limited and Nigerian Agip Oil Company Limited. The pipeline is currently operated by Aiteo Group.[4] It was constructed as a replacement to the ageing and often vandalized Nembe Creek Pipeline which had suffered significant losses due to incessant fires, sabotage and theft.[5]

Ownership

The pipeline is owned by Aiteo Group, which purchased it as part of the related facilities of the oil bloc OML29 from Shell Petroleum Development Company in 2016.[6] The other joint venture partners, Total E&P Nigeria Limited and Nigerian Agip Oil Company Limited also assigned their interests of 10% and 5% respectively in the lease, ultimately giving Aiteo Eastern E&P Company Limited a 45% interest in OML29 and the Nembe Creek Trunk Line.[7]

Opposition

In November 2016, The Nigerian militant group Niger Delta Avengers attacked the Nembe Creek Trunk Line pipeline in the Southern Niger Delta region. The militant group had said they would cease hostilities only months before, but reversed their decision due to the Nigerian government's continued military presence in the region. The military reported that the attack had failed, but the militant group said attacks would continue until their demands were met. Some of those demands include increased development in the region from oil revenue and for company headquarters to move to the Niger Delta, where most of Nigeria's oil comes from.[8]

In March 17, Shell's Nigerian company temporarily shut down the Nembe Creek Trunk Line to repair pieces along the line that were affected by theft.[9] In July 2017, a similar incident occurred which required the line to be temporarily shut down due to sabotage and theft along the line which feeds Bonny Light crude.[10]

Articles and resources

References

  1. 1.0 1.1 Nembe Creek Trunk Line , Wikipedia, accessed September 2017
  2. "Nembe Creek Trunk Line". Oil Map NG. HexGEAR. Retrieved 23 February 2016.
  3. "AITEO acquires Shell's OPL 29, Nembe Creek pipeline for $2.7 billion". Premium Times. Premium Times Services Limited. Retrieved 23 February 2016.
  4. Clark, Meagan (27 February 2014). "Nigeria's Oil Thieves Drive Shell To Distraction As Company Plans Pipeline Sale". International Business Times. IBT Media Inc. Retrieved 23 February 2016.
  5. "The Shell Nembe-Cawthorne Channel Trunkline Replacement (NCTL)". Nestoil Limited. Nestoil Limited. Retrieved 23 February 2016.
  6. "AITEO acquires Shell's OPL 29, Nembe Creek pipeline for $2.7 billion". Premium Times. Premium Times Services Limited. Retrieved 23 February 2016.
  7. "The Shell Petroleum Development Company completes sale of oil mining lease 29 and Nembe Creek Trunk Line in Nigeria". Euro Pétrole. Europétrole. Retrieved 23 February 2016.
  8. Alexis Akwagyiram, Libby George, "Niger Delta militants claim attack on Nembe Creek pipeline," Reuters, November 15, 2017
  9. Tsvetana Paraskova, Shell Nigeria Shuts One Bonny Light Export Line To Repair Theft Points, Oil Price, March 31, 2017
  10. Tsvetana Paraskova, "Shell Nigeria Declares Force Majeure On Nigerian Light Oil Exports", Oil Price, July 14, 2017

Related SourceWatch articles

External resources

External articles

Wikipedia also has an article on Nembe Creek Trunk Line. This article may use content from the Wikipedia article under the terms of the GFDL.