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Tuesday, September 8, 2009

CHEVRON RESUMES PRODUCTION IN DELTA STATE

Chevron Nigeria Limited, a unit of US Chevron Corporation, says production has resumed on its onshore operations in Delta State after a three-month shut down.

Femi Odumabo, Chevron's general manager policy, government and public affairs, confirmed this in an email response to NEXT. "Yes, our operation has returned to normalcy," he said.
Chevron suffered several attacks in late May and early June, during sustained attacks by the Movement for the Emancipation of the Niger Delta (MEND), against the oil industry in its onshore production located mainly in the state.

One of the company's pipelines in the Abiteye area of the state was blown up, resulting in a production shut-in of 100,000 barrels per day of oil from the company's swamp operations. The Utonana production facility, also in Delta State, was attacked in June.
About 150,000 barrels per day of oil meant for export from the Escravos export terminal was delayed to September from August, due to production shut-in.

The Federal Government's amnesty offer to militants, who lay down their arms, seems to be yielding results, as oil companies have been able to increase their output levels because of improved security situation in the Niger Delta. This was confirmed last week by the group managing director of the Nigerian National Petroleum Corporation, Mohammed Sanusi Barkindo, Mr. Barkindo said for the first time in over seven months, total crude oil and condensate production has gone up to 2.3 million barrels per day, while crude oil production stood at 1.7 million barrels per day.

But in spite of these encouraging figures, oil companies and industry sources say Nigeria still has more than 800,000 barrels per day of crude oil shut-in, mainly due to sabotage attacks on oil facilities.

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