Italian oil firm, Eni has lifted its force majeure on Nigerian oil exports, easing supply concerns caused by flooding and theft in the Niger Delta.
Force majeure refers to a clause meaning a company would be unable to meet its contractual obligations due to events beyond its control. The company had declared the force majeure in November after traders reported delays of more than a month for Brass River crude which typically accounts for 5 per cent of the total exports of Nigerian oil.
“The force majeure has been lifted effective 0800 Nigerian time (0700 GMT) on Tuesday,” said a report from the news agency, Reuters.
In the meantime, the NNPC has dismissed speculations that another round of fuel scarcity in Lagos was in the offing following the recent fire incident on its System 2B pipeline in Arepo, Ogun State.
Group Managing Director of the corporation, Mr Andrew Yakubu said in a statement Tuesday that the product supply and distribution were intact as ruptured points on the pipeline had been fixed.
In the statement signed by the NNPC’s General Manager, Governmental Affairs, Tumini Green, the GMD clarified that speculations of imminent petrol scarcity were uncalled for as the NNPC responded quickly to the speculation.
The GMD had during the on-the-spot assessment of the damaged pipeline on Monday explained that the four points ruptured by the product thieves had been clamped and that the corporation was also working out a way to make the pipeline less accessible to oil thieves and vandals.
“There is no reason to entertain fear about fuel scarcity because we have enough products in Mosimi to last for some days, but beyond that, our men have clamped the four points that were ruptured and there is no fear of disruption of distribution and supply as such.
“This is a stop-gap measure. We just made some observations now on how to make the pipeline less accessible. If we are able to achieve that within the day, we will start pumping,” Yakubu said.
On allegation of negligence against the Governor of Ogun State, the GMD explained that the mandate of the NNPC was to operate and maintain the pipeline and its right of way and that he had written to the governor soliciting for the state government’s collaboration to check the menace.
“We are glad that His Excellency has said that he would collaborate with us,” he added.