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Nigeria: Country Loses 250,000 Barrels Daily to Niger Delta Violence

WARNING: This is Version 1 of my old archive, so Photos will NOT work and many links will NOT work. But you can find articles by searching on the Titles. There is a lot of information in this archive. Use the SEARCH BAR at the top right. Prior to December 2012; I was a pro-Christian type of Conservative. I was unaware of the mass of Jewish lies in history, especially the lies regarding WW2 and Hitler. So in here you will find pro-Jewish and pro-Israel material. I was definitely WRONG about the Boeremag and Janusz Walus. They were for real.

Original Post Date: 2009-05-19 Time: 02:00:23  Posted By: Jan

By Adeola Yusuf

Lagos – The smooth running of about 1.8 million barrels of oil production in the Nigeria’s oil rich Niger Delta region was at the weekend disrupted following a violent clash, which has claimed lives of over 60 people.

Violence in the Niger Delta has cut the country’s oil output by about a fifth since early 2006 eating deep into Nigeria’s foreign earnings.

A source told Daily Independent at the weekend that production loss to the on-going violence was over 250, 000 barrels per day as foreign firms remove all but essential staff from the areas.

Chevron, the source added, could soon declare a force majeure on oil from the Escravos operation, while the Shell Petro-leum and Development Company (SPDC) has commenced the evacuation of its staff from the swamp and offshore locations in response to threat by the militants to attack oil workers.

Fears that the violent clash in the region of Nigeria could cause price surge also gripped traders at the global market as transaction resumes Monday.

Although a steady stream of dismal financial news at the weekend suggested that even if the global economy has bottomed out, it would be some time before demand for crude rebounds, traders believed that the renewed violence in Nigeria could single-handedly skyrocket the price.

About 60 people, including militants, soldiers, civilians and a foreign hostage have at the weekend been feared killed around the Escravos River in Warri South-west Local Government Area of Delta State when the military Joint Task Force (JTF) went after “Camp Five” militants led by the Ijaw warlord, Government Ekpemupolo, known

as Tompolo, the highest rate of casualty suffered by the protestors since the conflict started in 2005.

Coordinator, Joint Media Campaign Centre of the JTF, Col. Rabe Abubakar who confirmed the clash added that 10 hostages were rescued from the famous Tompolo Camp Five.

The JTF, in the words of Abubakar, also recaptured the Nigerian National Petroleum Company (NNPC) chartered tanker, MV SPIRIT, and the cargo ship hijacked by militants at the Chanomi Creek in the state.

Oil prices have always suffered anytime that violence erupt in the Niger Delta region of Nigeria.

Benchmark crude for June delivery dropped $2.28 to settle at $56.34 a barrel on the New York Mercantile Exchange. Since the start of May, oil prices have jumped by nearly $8 a barrel as it appeared the worst of the recession was over.

But a string of forecasts showing a larger drop in world oil consumption sent prices downward to end last week. The International Energy Agency, the U.S. Energy Information Administration and the Organization of Petroleum Exporting Countries all lowered crude demand expectations this week.

A number of oil analysts believe that the only thing propping up energy prices this year is the re-entry into the market of hedge funds and other large investors who see crude as a hedge against inflation. Many traders on Nymex do not believe there are fundamentals in place to support prices this high.

In other Nymex trading, gasoline for June delivery was down 4.31 cents to settle at $1.6806 a gallon and heating oil dropped 7.59 cents to settle at $1.4188 a gallon. Natural gas for June delivery slid 19.4 cents to settle at $4.098 per 1,000 cubic feet.

In London , Brent prices lost 71 cents to settle at $55.98 a barrel on the ICE Futures exchange.

Original date published: 18 May 2009

Source: http://allafrica.com/stories/200905181138.html?viewall=1