Shell, Exxon are IOCs most exposed to Nigeria militant attacks

According to energy consultants, Rystad Energy; Royal Dutch Shell Plc and Exxon Mobil Corp. are the international oil companies most exposed to violence in the Niger Delta that has cut Nigeria’s output and fueled a rally in global crude prices, Bloomberg reports.

Shell and Exxon have the most production in vulnerable parts of the oil-rich region — onshore or near the coast, according to Per Magnus Nysveen, senior partner and head of analysis at the Oslo-based consultant. Shell is losing almost all of the 50,000 barrels a day it pumped in the delta last year, he said. That’s about a quarter of its output in the country. Exxon pumped 145,000 barrels a day last year — about half its Nigeria total — from shallow-water fields that could also be targeted, Nysveen said.

Deep-water areas, where Shell and Exxon also have significant operations, have so far been unaffected. “Nigeria will become increasingly reliant on that production if we see an escalation of violence,” Gail Anderson, a research director at Wood MacKenzie said. The country pumped about 35 percent of oil or liquids from deep-water sites before the violence, she estimates.

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