Are you prepared for Wrath of the Lich King? WoW Insider has you covered!

AOL Money & Finance

Royal Dutch Shell plant in Nigeria bombed -- oil supply concerns mount

BBC news reported Saturday that militants in Nigeria have again sabotaged oil transfer infrastructure belonging to Royal Dutch Shell (NYSE: RDS A). This is the fifth incident of such attacks in recent weeks. The BBC report states: "Several previous ones have been blamed on supporters of the militant leader Henry Okah, who is currently awaiting trial on treason charges."

A Shell Oil spokesperson is quoted as stating that multiple oil delivery lines are affected and that some amount of oil has spilled into the environment. The company is undertaking oil containment measures and production volume has been reduced. Reuters News Service reported: "...the rebel Movement for the Emancipation of the Niger Delta (MEND) ... has already knocked 164,000 barrels a day off Shell's production in Nigeria with a pipeline bombing last month."

According to Reuters, local security forces are reporting that not just oil delivery lines have been affected. They claim that three oil wells and other equipment were also subjected to damage. Additionally, this news of sabotage comes on the heels of an eight day Nigerian labor strike against Exxon Mobil Corp. (NYSE: XOM). That strike ended this past Thursday and had temporarily cut that company's Nigerian oil production in half. And of course, with oil supply problems and concerns, oil prices have increased.

Related Posts

Add your comments

Please keep your comments relevant to this blog entry. Email addresses are never displayed, but they are required to confirm your comments.

When you enter your name and email address, you'll be sent a link to confirm your comment, and a password. To leave another comment, just use that password.

To create a live link, simply type the URL (including http://) or email address and we will make it a live link for you. You can put up to 3 URLs in your comments. Line breaks and paragraphs are automatically converted — no need to use <p> or <br> tags.

New Users

Current Users

Symbol Lookup
IndexesChangePrice
DJIA+29.8811,632.38
NASDAQ+21.922,325.88
S&P 500+5.191,282.19

Last updated: July 24, 2008: 07:07 AM

BloggingStocks Exclusives

Hot Stocks

BloggingStocks Featured Video

TheFlyOnTheWall.com Headlines

WalletPop Headlines

    AOL Business News

    Latest from BloggingBuyouts

    Sponsored Links

    My Portfolios

    Track your stocks here!

    Find out why more people track their portfolios on AOL Money & Finance then anywhere else.