...Friend or Foe Shell in the Niger Delta Shell in the Niger Delta There is a long and terrible record of environmental destruction and human rights violations in the oil-producing regions of Nigeria. The gross level of environmental degradation caused by oil exploration and extraction in the Niger Delta has gone unchecked for the past 30 years. Evidence shows that the oil companies operating in Nigeria have not only disregarded their responsibility towards the environment but have acted together with the military’s repression of Nigerian citizens. The profit-driven collusion between multinational oil companies and the past and present Nigerian governments has cost many lives and continues to threaten the stability of the region. In the course of writing this paper, based on all the accounts of reports read, interviews conducted, news and report findings, I came to the realization that oil extraction and the related operations of multinational oil corporations pose a serious threat to the livelihood of the people of the Niger Delta. Tensions in the Niger Delta continue to erupt into violence as natural resources vital to local communities’ survival are destroyed by oil operations. Environmental and social justice for the people of the Niger Delta remain central issues for achieving peace in the region. As long as people’s calls for justice continue to be ignored and resisted by both multinational oil corporations and the Nigerian government, the situation...
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...Shell in Nigeria Shell is a multinational corporation that for 50 years has been intimately involved in Nigeria’s economy, politics and overall development. Company generates billions of dollars in export earnings while providing the federal government with half or more of its revenue. Shell has also been implicated in government military actions that have resulted in the killing of non-violent community, human rights and environmental activists and local villagers, as well as the oppression of ethnic minorities. They’ve been seen as being complicit in widespread corruption and as a large contributor to the self-enrichment of government officials and powerful, local interests. They’ve also been viewed as a principal agent of widespread environmental degradation in what’s recognized as one of the world’s biodiversity hotspots. Urbanization, industrialization and deforestation are taking a heavy toll on the Delta region’s soil, land, water and air. The country’s forest area has been reduced by around half between 1990 and 2008, which is degrading the region’s agricultural productivity and water resources. Local activists and residents, as well as local and foreign scientists and researchers, have decried the fouling of the Delta region’s air, land and water, much of it attributed to pollution associated with oil and gas exploration and production. Shell has been harshly criticized for the effects its exploration and production in Nigeria. Seventy-five percent of oil spill incidents...
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...In 1890, Aeilko Jans Zijlker located oil in the Dutch East Indies and found Royal Dutch. The company partnered with Shell 17 years later, keeping 60%. Shell took care of the transportation and storage while Royal Dutch processed and refined the oil. The companies became world leaders in the oil industry after WWII. Shell partnered with British Petroleum and unwillingly, with the Nigerian government that ended up owning up to 35% of the partnership. Nigeria was Africa’s most highly populated nation. The Nigerian National Petroleum Corp owned 55 percent of the Shell Petroleum Development co of Nigeria Limited joint venture. They settled similar deals with other oil companies like Chevron, Texaco, and Mobil. In the late 90s, oil counted for about 90% of the country’s foreign exchange profits and placed it among the top 10 oil producers and distributers in the world. In the Niger Delta, which most oil was extracted from, 20 tribes could be found. The Nigerian government had promised to invest to help these tribes but the organization in charge of the project claimed to have never received funding from the government. On the other hand, Shell had spent about $22M in community development projects to appease the tribes near the Niger Delta. Around that area, because of oil extraction, refining, storing, and transportation, the environment had been severely damaged. The people provoked oil spills in response to the environmental damage and with the intention of generating spill-cleaning...
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...Oil Spill in Nigeria ATURDAY, JULY 3, 2010 Oil Spill: Environment Practitioners Want Compensation from Shell From Onyebuchi Ezigbo in Abuja and Okon Bassey in Uyo, 06.30.2010 The leadership of Environmental Health Service Providers Association of Nigeria has asked the Anglo-Dutch oil exploration giant, Shell Petroleum Development Company to commence the process of remediation of all areas affected by its operations and to also ensure that the affected communities are adequately compensated. Their demand is coming as Mobil Producing Nigeria (MPN) Unlimited, an affiliate of American oil giant, Exxonmobil is battling to contain the effect of oil spill recorded June 20, 2010. The company has also just recorded another spill from its facility. The latest spill was reportedly discharged into the Atlantic Ocean from the Yoho production platform within the Qua Iboe oil fields. The Association’s National President, Chief Herbert Anyadike, who spoke to journalists in Abuja said based on the experience of the massive oil spill in the Gulf of Mexico where the company was compelled by the United States to pay compensation totalling about $20 billion, Shell should also be made to make similar commitment to the people of the Niger Delta. "You know what use to be in the riverine areas where oil will spill and remain there for many years without anyone taking care of it. Those people who have been here living with this problem over the years and have been clamouring for compensation...
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...Shell in Nigeria: The Ethical Issues Ethics are moral principles, as of an individual, a country or a religion. A lot of people have different perspectives of the world and carry different opinions involving what is ethical and what is not. Ethics are a major concern in International Business and companies face ethical issues very frequently. Royal Dutch Shell, commonly known as Shell, is a fusion of over 1,700 companies around the world. Shell Nigeria is one of the largest oil producers in the Shell Group and more than 80% of the oil extractions in Nigeria is in the Niger Delta. The Delta is a home to many small minority ethnic groups, such as Ogoni, all of which suffer exploitation of human rights, environmental rights, and economical and health issues by big multinational oil companies, mainly Shell. Emanuel Nnadozie, A famous writer, has said "Oil is a curse which means only poverty, hunger, disease and exploitation for those living in oil producing areas.” This paper will focus mainly on the case of Shell’s ethically immoral attitudes towards Ogoni, but one must keep in mind that there are dozens of other groups that suffer the same exploitation of resources and injustices, both environmentally and economically. Firstly, Ogoni continuously faces human rights violation from Shell. Oil from Ogoniland provides close to $30 billion to the economy of Nigeria and the people of Ogoni see only very little from their contribution to Royal Dutch Shell. According to The Essential...
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...Royal Dutch Shell in Nigeria For Shell, there are a few key issues that must be addressed. Since the company is located in Nigeria, the company faces a certain animosity from the native Nigerians specifically the Ogonipeople. One of the main key issues in this case comes from Ken Saro-Wiwa who is an avid Ogoni protestor to foreign companies stealing resources and suggesting that the Nigerian government gives nothing in return to the Ogonipeople. Ken argued where the Nigerian Bill of Rights had been compromised by the multinational corporation. From this conflict, violence escalated and people have died in protests against the government and Shell. Another key issue is the fact that the environment of Niger Delta is affected by the process of natural gas flaring and oil spills. Though Shell claimed that the oil spills were from the effects of corruption, their operations have damaged the land with acid rain and water contamination. This case at the time is concerned with Shells pending decision to take action in politics and violate business ethics or to sit back and face contempt of court exposing the company to judicial sanctions. Some of the key stakeholders in this case involve the government, Shell employees, CMD managers, and Shell investors. The Nigerian government relies on Shell to be profitable. At a point in time, the Nigerian government had owned between 25% to 80% through the Nigerian National Petroleum Corporation. The Nigerian government wantoil companies to...
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...through Globalisation in Nigeria An analysis of Shell & the IMF Structural Adjustment Programs Sven Bokhari 820619-P291 Fabrizio Del Duca 791225-P114 Group number: 1983 Summary Date: Level: Authors: 2008/06/03 Master thesis in International Business and Entrepreneurship, 10p (15ECTS) Sven Bokhari Västerås Date of birth: 19820619 Fabrizio Del Duca Västerås Date of birth: 19791225 Title: Economic Development through globalisation in Nigeria. An analysis of Shell & the IMF Structural Adjustment Programs Leif Linnskog, Ph.D. Tutor: Research Question: Can globalisation be seen as positive or negative for the Economic Development of Nigeria? A focus on Shell and the International Monetary Fund Research Issue: Globalisation in its current form is viewed in the Western world as a positive influence for the Economic Development of under developed countries. However these views on the benefits brought to developing countries have been frequently disputed. The research we are undertaking is a pilot study based on documentary research. Our source of information is secondary data such as books, articles, newspapers and journals. The study employs a qualitative approach. Even though globalisation is often viewed as positive we have discovered that this is not always the case in relation to its effects in Nigeria. Judging from our analysis, globalisation through the IMF and Shell has had an overall negative impact on Economic Development. However, Shell is attempting to act...
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...tempered by care for the environment and concern for people - both now and in the future. This meant that if Shell wanted to stay in business, prosper and grow in the future, it had to find effective ways to incorporate the principles of sustainable development into its business practices - not as an option but as a necessity to survive. Shell reviewed all aspects of its activities in light of what it learned about sustainable development and society's changing expectations towards the behaviour of business. In 1997, Shell decided that, in parallel with its efforts at internal transformation, it would launch a new global, social investment effort that would concentrate on working with external partners to advance sustainable development worldwide. This decision ultimately led to the establishment of the Shell Foundation. Shell’s worldwide social investment initiative promotes sustainable development. Their main aim is to maximize benefit to the society and environment and to have integrity in their operations. The main aim is to maximize benefit to the society and environment and to have integrity in their operations. There are 6 main programs under the Shell Foundation namely: Aspire, Trading UP, Embarq, Breathing Space, Excelerate, and Climate Change ASPIRE: Through a long and close partnership with GroFin - a specialist business developer and financier - Shell Foundation helped pioneer a new business model specifically designed to service the Growth Finance sector...
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...OIL AND GAS LABOUR UNIONS IN NIGERIA: NUPENG AND PENGASSAN INTRODUCTION The Federal Republic of Nigeria is a country located in the Western Part of Africa. It was a former British colony and achieved independence in 1960. It is a federal republic constituting of 36 states and 1 federal territory. It has a current population of 155,215,573. It is the most populated country in Africa and the 8th most populated country in the world. The current President of Nigeria is GoodLuck Jonathan. Its capital city is Abuja. Nigeria is the 12th largest producer of petroleum in the world and the 8th largest exporter of petroleum. It also has the 10th largest proven oil reserves in the world. In 1971, Nigeria joined the Organization of Petroleum Exporting Countries (OPEC). Petroleum is a very important aspect of the Nigerian Economy. Petroleum accounts for 40% of Gross Domestic Product and 80% of Government earnings. The main oil producing region is the Niger Delta which consists of three states - Bayelsa, Delta, and Rivers States. However, various problems have afflicted the country preventing it from exporting petroleum at 100% capacity and leading to frequent disruptions. These problems include environmental pollution, human rights violations, poor working conditions and lack of proper investments in the area that would improve the standard of living for the local communities. There are currently two major labour unions in Nigeria that deal with the issues of oil and gas workers: ...
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...International Investment Report - British Petroleum in Nigeria Group D June 6, 2015 Table of Contents Introduction 3 Country Evaluation 6 Industry Overview 9 Regulatory structure 9 Competition – Major and minor competitors 12 Local financing options for the expansion 12 Overall attractiveness of the industry 13 Entry Strategy 13 Recommendations 17 References 20 Introduction Nigeria in West Africa is about twice the size of California in the US but is the largest country in Africa. Just over 160 million people live in this country with approximately 800,000 of them living in the capital city of Abuja which is located in the very center of Nigeria. (Nigeria) Nigeria has two distinct reputations. One as a corrupt and violent country that is not highly recommended for tourist type visitations (although it does have incredibly interesting historical sights) and the other for being the country visited mostly for unbelievably lucrative business transactions involving oil and gas. The Nigerian people live mostly in poverty in a country where oil and gas exports total billions in revenue. This is due to the fact that the Nigerian government has total control over their property rights. In addition corruption within that government runs rampant. According to an article by Michael Burleigh 70% of Nigerians live below poverty level struggling to survive. (Burleigh) What is even more interesting in a country rich in oil and gas is that the poverty...
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.....................6 c. Poverty.....................................................................................................................6 d. Role of oil Companies..............................................................................................7 4. Conclusion......................................................................................................................9 INTRODUCTION The conflict in the Niger Delta is complex, a crisis involving local patriots and freedom fighters. The Niger Delta is rich in mineral-petroleum and gas. The Nigerian state formulated fiscal policies and laws such as the Petroleum Act, which gives the Federal Government the exclusive ownership of oil resources in Nigeria; the Land Use Act which vests the ownership of Lands on State Governments; The exclusive Economic Zone Act by which the federal Government has exclusive right over all resources within 200 nautical miles from the coast to the...
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...major oil spill that occurred in the Niger Delta Region of Nigeria in 2008, Shell Petroleum Development Company (SPDC) stated that this was caused by a fault in a pipeline. In the town of Bodo, tens of thousands of oil barrels caused pollution to the land and creek. Shell’s official investigation report claims that 1,640 barrels of oil were spilt in total. Nigerian regulators have confirmed that the spill lasted for 72 days and estimate that between 103,000 and 311,000 barrels were spilt in this time. Besides the under-recording of this incident, Shell has repeatedly claimed to its investors, media and customers that the majority of the spill was caused by sabotage. Amnesty International has now confirmed that more than 50% of the oil spill was a result of operational failures. After more than 3 years since this oil spill, Shell has failed to perform a proper clean-up to the affected area, or to pay any form of official compensation to the affected communities. Thousands of activists in more than 14 countries have undertaken protests against the major oil giant, and the people of Bodo have now taken their claim of a leak of 500,000 barrels to the UK courts. Observing this particular situation involving Shell in Nigeria, an understanding will be established of how leadership could be used to address the situation. This paper is organised as follows: First, I will provide a background and history into the Shell Nigeria operations. Secondly, I will establish an understanding of how...
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...As an African nation experiencing the phenomenon of urbanization in expanded scale and in prominent pervasiveness, Nigeria is generally perceived as a newly-emerged modern state, which is characterized by rapid industrialization and extensive urbanization (Jiboye,2011).In particular, the term “State” is defined as the politically organized people of a particular land(Antai& Moradi, 2010). When it comes to the cohesion and stability of modernized state, it refers to the condition of a system which is the condition of Nigeria as a whole. In this essay, the threats on the cohesion and stability of Nigeria induced by industrialization and urbanization are assessed in threefold: health threats, criminal threat and threat regarding food insecurity. The aforementioned threats to be analyzed are intertwined with the concept of urbanization and industrialization and the repercussions of food insecurity and the physical health threat in urbanized cities are interrelated with the criminal threat, which could be accounted by mental illness(Antai& Moradi, 2010). With this introductory overview, the essay proceeds to outline the modern situation of urbanization and industrialization in Nigeria with definitions conceptualized. The following part is an evaluation of the health threats comprised of two section, in which the overcrowding issue is explored and illustrative case study focusing on health surveillance in Niger Delta is examined. The next part dwells on the positive correlation between...
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...Requirements for the award of the Degree: Masters of International Relations and Strategic Studies. (MISS) AUGUST 2012 PROPOSAL This work, adopting a multidisciplinary approach, seeks to analyse aspects of Nigeria’s diplomacy, specifically the effect of the leader’s personality on the conduct of Nigeria’s external relations. To effectively do this, the work shall comparatively assess Nigeria’s diplomacy under Presidents Obasanjo and Yar'Adua from 1999-2010. Seeking to see the effect their personality type had on the manner, trends and approach to Nigeria’s diplomacy during the period. On record President Obasanjo undertook a shuttle diplomatic effort across the globe especially between 1999 and 2002, this is said to have reintegrated Nigeria into the comity of Nations, where she was previously a pariah. How did his personality affect these efforts? Was his personality added value or reduced value? At the point of his death President Yar’Adua was ECOWAS chairman, previously in 2009 he attended the G20 meeting in Germany, visited President George Bush at the start of his term and other diplomatic engagements. How did his personality affect all these? On the whole how did the respective personality of both leaders affect Nigeria’s Diplomacy within the period under review? And what does the country now enjoy as a legacy of their efforts, specifically the nature of their individual personae and leadership style and what lessons could the country learn from all these. Indeed we...
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...different names, while he takes on the name “All of you.”….. When he asks the people of the sky for whom they have prepared the feast.”pg84-85 | Ekwefi and Ezinma share the tradition of storytelling in their hut at night. Ekwefi's story emphasizes the importance of names, since the tortoise manages to trick everyone by changing their names. This story also explains the world around them: why the tortoise shell looks the way it does. This telling of stories between mother and child is universal, no different than what goes on in white households across the world. Achebe's decision to transcribe several words from the Igbo language throughout the novel takes back some of this power, however, by suggesting that there are African ideas that cannot be adequately described in English. Achebe also uses repetition and idioms to create a more African style while writing in English. To add to this, what colonial rule and education unwittingly gave Nigerians was a common language with which to communicate with one another—by writing in English, Achebe is telling a story that people across Nigeria can comprehend, and by shaping it to his purposes, Achebe is claiming what was originally imposed. | Chapter 12 “As the women head out, Okonkwo feels very tired and sleepy, since he didn't sleep at all the night before, out of worry for Ezinma……the first two pots of palm-wine from Obierika's in-laws arrive, and they're presented to the women.”pg.98 | Okonkwo once again hides his worry, because he...
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