Shell agrees to pay $15.9M over oil spills in Nigeria

LAGOS, Nigeria

Shell Petroleum has agreed to pay €15 million ($15.9 million) as settlement to Nigeria over oil pipeline leaks in the country's Niger Delta in the early 2000s.

In a statement on Friday, Shell said it had negotiated the settlement for the benefit of the Oruma, Goi and Ikot Ada Udo communities in Nigeria affected by oil spillage caused by the petroleum company during exploration in 2004-2007.

On its website, Shell said the settlement is "no admission of liability," ending all pending litigation in the area related to oil spills within the period.

Yaya Adebisi, a petroleum engineer in the country's Niger Delta, hailed Shell's decision to pay compensation to the affected communities.

"The resolve to pay €15 million is heartwarming though the amount isn't commensurate to the level of devastation of eco system, fishing activities, and water in the area," he told Anadolu Agency.

He urged leaders of the affected communities to ensure the money is used to support the people and improve agriculture, health, and water supply.

Environmental group Friends of the Earth had sued the Nigeria subsidiary of Shell over pipeline leaks that caused oil spillage in the Delta region.

In January 2021, a court of appeals in The Hague, the Netherland ruled in favor of the Friends of the Earth and granted their demand for compensation, which Shell announced on Friday.