Adam Davidson, CEO of Trident Royalties, discusses offtake milestones and catalysts to boost FY24. Watch the video here.

Less Ads, More Data, More Tools Register for FREE

Pin to quick picksRDSA.L Share News (RDSA)

  • There is currently no data for RDSA

Watchlists are a member only feature

Login to your account

Alerts are a premium feature

Login to your account

Nigerian offshore attacks surge as pirates advance

Thu, 21st Feb 2013 10:52

* Piracy attacks worst since 2010 - Control Risks

* Gangs venture further afield, become more violent

* Oil gangs with powerful backers are prime suspects

By Joe Brock and Jonathan Saul

ABUJA/LONDON, Feb 21 (Reuters) - A spike in piracy offNigeria's oil-rich coast has shown gangs are willing to venturefurther afield and use more violent tactics, increasing the riskof doing business in Africa's largest energy producer.

Pirates demanded a 200 million naira ($1.3 million) ransomfor the release of six foreigners kidnapped on Sunday, thelatest in at least five attacks in Nigerian waters this month.

Exxon Mobil and Shell officials said thisweek that security was a major factor in Nigeria, and it was oneof the most expensive oil-producing countries to operate in.

"The recent upsurge in maritime kidnaps off the Niger Delta... has not been witnessed since 2010," said Roddy Barclay, WestAfrican analyst at Control Risks.

"It is easy to underestimate the debilitating effect such asituation can have, even on larger corporations," Barclay added.

Oil and shipping companies have to hire crisis managementteams, pay huge insurance premiums and face the prospect ofransom payments, as well as brace themselves for damage to theirreputations.

At the same time, pirates are becoming more ambitious.

Three crew members were kidnapped on Feb. 7 from theBritish-flagged cargo ship, Esther C, around 80 miles offshore,the furthest pirates have reached in the Gulf of Guinea.

Gunmen killed a Filipino crew member when they attacked achemical tanker three days earlier, in the first confirmed casein Nigerian waters of crew being killed on a vessel thatdeployed a private armed team, maritime risk experts AKE said.

OIL GANGS

The prime suspects for most attacks are Nigerian oil gangs,who already carry out industrial scale crude theft, called'bunkering' in the restive onshore Niger Delta swamplands.

Nigeria's oil minister said this week that oil theft, whichcan amount to 150,000 barrels per day (bpd), was the work of aninternational criminal syndicate. President Goodluck Jonathanhas reached out to Britain for help.

Security experts also believe Nigerian security officialsand politicians are complicit in oil theft and piracy.

"There are many top people in Nigeria involved incommissioning these attacks and sharing the profits," saidMichael Frodl, head of U.S. consultancy C-Level Maritime Risks.

"It's obvious to us that they've been bringing in people inother nations into the game, and sharing a cut in exchange fortips for tankers and cargoes."

Compounding the problem, there is less fuel available inNigeria since Jonathan reduced subsidies last year, which hasforced prices to rise. This has provided an added incentive forgangs to locally refine stolen oil or siphon fuel off ships theyattack, experts say.

The rise in pirate attacks comes as Nigerian forces havebeen more stretched in the last two years due to an Islamistinsurgency in the Muslim north.

"There is a sense that security resources are being focusedto combat the terrorist threat in the north of the country,"said Rory Lamrock, analyst with security firm AKE.

"We're likely to see further attacks over the coming monthsas local authorities are unable to effectively police thewaters, especially up to 50 or 60 nautical miles off the coast."

More News
17 Jan 2022 10:06

Crown Estate Scotland offers 17 projects seabed rights for offshore wind

LONDON, Jan 17 (Reuters) - Crown Estate Scotland said on Monday it has made option agreements to 17 projects which reserve the rights to specific areas of seabed in its ScotWind leasing round which is aimed at supporting wind energy development.O...

Read more
17 Jan 2022 09:20

UPDATE 2-FTSE 100 hits two-year high as GSK boosts

(For a Reuters live blog on U.S., UK and European stock markets, click LIVE/ or type LIVE/ in a news window)* Unilever worst performer on the FTSE 100* Homebuilders gain as UK home prices soar in early 2022* Taylor Wimpey expects annual results in-l...

Read more
14 Jan 2022 17:48

UPDATE 1-Alberta prioritises oil sands' carbon storage hub, energy minister says

(Adds more details on CCUS)By Nia WilliamsCALGARY, Alberta, Jan 14 (Reuters) - The government of Alberta, Canada's main oil-producing province, plans to move forward "very, very quickly" on its next carbon sequestration hub in the Cold Lake region...

Read more
14 Jan 2022 13:56

UPDATE 1-Brazil's Petrobras trims 2022-2026 production outlook

(Recasts with details, context)SAO PAULO, Jan 14 (Reuters) - Petroleo Brasileiro SA (Petrobras) on Friday lowered its 2022-2026 production outlook to reflect production-sharing agreements involving the Atapu and Sepia oilfields.Brazil's state-run ...

Read more
14 Jan 2022 11:57

For BP, car chargers to overtake pumps in profitability race

* BP focusing on fast battery chargers, executives says* Fast chargers almost as profitable as petrol filling* BP and rivals targeting big growth in EV chargingBy Ron BoussoLONDON, Jan 14 (Reuters) - BP says its fast electric vehicle chargers are on...

Read more
14 Jan 2022 09:55

LONDON BROKER RATINGS: Exane BNP cuts BAE Systems and Rolls-Royce

LONDON BROKER RATINGS: Exane BNP cuts BAE Systems and Rolls-Royce

Read more
13 Jan 2022 18:49

Shell to hand over Deer Park refinery to Pemex next week -sources

By Ana Isabel MartinezMEXICO CITY, Jan 13 (Reuters) - Mexican state oil company Petroleos Mexicanos will take control of the Deer Park refinery in Houston, Texas on Jan. 20, three sources with knowledge of the matter said on Thursday.Royal Dutch S...

Read more
13 Jan 2022 09:50

Shell seismic tests approval complied with rules, S.Africa minister says

JOHANNESBURG, Jan 13 (Reuters) - Shell's plan for seismic testing on South Africa's Wild Coast, which critics say threatens dolphins, seals, whales, penguins and other rare sea life, received all necessary environmental approvals, the country's e...

Read more
13 Jan 2022 06:49

UPDATE 3-Activists behind Shell climate verdict target 30 multinationals

* KLM, ABN Amro among those to get letters* Milieudefensie seeks science-aligned net-zero plans* Warns court an option if companies slow to move (Adds company responses)By Anthony Deutsch and Simon JessopAMSTERDAM/LONDON, Jan 13 (Reuters) - The Dutc...

Read more
13 Jan 2022 06:49

UPDATE 2-Activists behind Shell climate verdict target 30 multinationals

* KLM, Ahold, ABN Amro among those to get letters* Milieudefensie seeks science-aligned net-zero plans* Warns court an option if companies slow to move (Adds other companies receiving letters; edits)By Anthony Deutsch and Simon JessopAMSTERDAM/LONDO...

Read more
13 Jan 2022 03:00

Activists behind Shell climate verdict target 30 multinationals

* KLM, Ahold, ABN Amro among those to get letters* Milieudefensie seeks science-aligned net-zero plans* Warns court an option if companies slow to moveBy Anthony Deutsch and Simon JessopAMSTERDAM/LONDON, Jan 13 (Reuters) - The Dutch wing of environm...

Read more
12 Jan 2022 06:43

UPDATE 4-Equinor warns of $1.8 bln UK oilfield impairment

* Mariner field is producing less oil than expected* Reserve estimate downgraded* Operator Equinor holds a 65% stake (Adds partners comment, background)By Terje Solsvik and Nerijus AdomaitisOSLO, Jan 12 (Reuters) - Norwegian energy group Equinor wa...

Read more
10 Jan 2022 12:16

Thyssenkrupp IPO candidate UCE to build 200 MW electrolyser for Shell

FRANKFURT, Jan 10 (Reuters) - Thyssenkrupp's hydrogen unit Uhde Chlorine Engineers (tkUCE), which the German conglomerate plans to list in spring, has signed a deal to deliver a 200-megawatt electrolyser to oil major Shell, it said on Monday.The ...

Read more
7 Jan 2022 09:28

LONDON BROKER RATINGS: Shell cut to Neutral; Centamin raised to Buy

LONDON BROKER RATINGS: Shell cut to Neutral; Centamin raised to Buy

Read more
7 Jan 2022 09:12

LONDON MARKET OPEN: "Apprehensive" trade as investors look to nonfarms

LONDON MARKET OPEN: "Apprehensive" trade as investors look to nonfarms

Read more

Login to your account

Don't have an account? Click here to register.

Quickpicks are a member only feature

Login to your account

Don't have an account? Click here to register.