Shell files int'l arbitration against Nigeria over oil spill case

Published 15/02/2021, 11:27
© Reuters.
RDSa
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LAGOS, Feb 15 (Reuters) - Royal Dutch Shell RDSa.L has
initiated international arbitration against Nigeria over a
dispute regarding an oil spill that took place five decades ago,
according to a filing with the World Bank's dispute settlement
body.
The issue relates to a an oil spill in the Ejama-Ebubu
community that took place during the 1967-70 Biafran war.
Nigeria's Supreme Court in November denied Shell's request to
appeal the award. Shell has said it never got a chance to defend
itself against the substance of the claims.
"This is not a decision we take lightly but, given the
history of this particular case, we are seeking protection of
our legal rights from an international tribunal," Shell
Petroleum Development Company of Nigeria Limited (SPDC) said in
an email.
Shell made the filing with the World Bank's International
Centre for Settlement of Investment Disputes (ICSID) on Feb. 10.
It declined to say what the company was seeking via arbitration,
and the ICSID posting included no details.
Nigeria's attorney general did not respond to a request for
comment.
Shell, the most significant international oil company
operating in Nigeria, has faced a string of court losses in the
past several months over oil spills.
In November, in the case at hand, Nigeria's Supreme Court
rejected its bid to set aside a 2010 award of 17 billion naira
($45 million), with accruing interest, that the community says
is now worth more than 180 billion naira. Last week a group of fishermen and farmers won the right to
sue the company in the United Kingdom over Nigerian oil spills.
Last month, a Dutch appeals court held it responsible for
multiple oil pipeline leaks in the Niger Delta and ordered it to
pay unspecified damages to farmers.

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