
The Nigerian government is engaging with local communities to potentially restart oil production in a region plagued by environmental damage, following the sale of Shell’s onshore operations.
Shell, a major player in Nigeria for nearly a century, recently sold its onshore business to a consortium of local companies for $2.4 billion. This move marks the end of the energy giant’s operations in the Niger Delta, a region marred by decades of environmental pollution and community grievances.
A key focus of the government’s plan is to revive oil production in Ogoniland, where operations were halted in 1993 due to widespread environmental damage and human rights abuses. This move aims to bolster Nigeria’s foreign exchange earnings.
Several Western oil companies, including ExxonMobil, Eni, Equinor, and TotalEnergies, are gradually withdrawing from Nigeria, shifting their focus to offshore operations and minimizing their exposure to the volatile Delta region.
Shell’s sale faced opposition from communities and activist groups who demanded a commitment to environmental cleanup before any transaction. The terms of the agreement regarding environmental remediation are not publicly disclosed.
Scientific studies have documented significant levels of oil compounds and heavy metals in the Delta, impacting water sources and livelihoods. A UN-advised cleanup effort in Ogoniland, largely funded by Shell, has been criticized for mismanagement.
Activists emphasize the need for extensive dialogue with local communities before any resumption of oil production in the region. They advocate for a collaborative approach that prioritizes local concerns and conditions.