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Mobil’s Pipeline repairs still in progress, Spokesman

Mobil Producing Nigeria (MPN), an affiliate of U.S. oil firm, ExxonMobil, says repairs on its damaged crude oil pipeline at the Qua Iboe crude export terminal is still ongoing.

Located offshore Ibeno coastline in Akwa Ibom, the pipeline damage on has caused a decline in crude export from the over 400,000 barrels per day to around 250,000 barrels from the crude export terminal since May 1, according to industry sources. It has also caused delays in crude loading, they said.

MPN spokesman Mr. Yemi Fakayejo told the News Agency of Nigeria (NAN) on Thursday that the repair work which compelled the oil firm to declare a “force majeure” on May 12, was still in progress but declined to say when the repair work would be concluded.

Mobil had in a statement signed by its External Affairs Director, Mrs Gloria Essien-Danner, on May 12, said that it could not meet its contractual obligations to crude buyers due to the pipeline damage at the Qua Iboe oil fields.

Mobil declared the ‘‘force majeure’’ to free it from legal liabilities and claims resulting from its inability to meet its contractual obligations to oil buyers due to a constraints outside its control. Sources at the Qua Iboe oil field told NAN that about 12 million dollars in oil export revenue might be lost daily due to a partial shut in of oil production until the pipeline was fixed.

MPN had reported that a pipeline leak from one of its offshore platforms on May 1, 2010, discharged an unknown volume of crude into the Atlantic and the company isolated the pipeline to forestall further oil spillage.

It ruled out sabotage as it could not find evidence of interference with the facility located about 20 kms from the coastline. Mobil runs the 960,000 barrels per day capacity crude oil export terminal off Akwa Ibom shoreline with over 90 offshore platforms in its oil blocks in a joint venture with NNPC.


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