OML 11: Shell appeals affirmation of ruling by Rivers High court

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OML 11 has been the subject of prolonged litigation between the Ejama-Ebubu community in Tai Eleme Local Government Area of Rivers State and the SPDC.

on Friday said it has filed an appeal for a stay of execution of the ruling of the Rivers State High Court affirming the enforcement of the purported acquisition of interests in the company’s joint venture assets in Kidney Island and specified interests in OML 11 in Ogoniland to the state government.

Apart from complaints about general inconveniences, impact of acid rain, pollution of underground water and hardship to the population, the community sought the court’s approval to claim about N17 billion as special damages, interest on the sum as well as N10 billion “in Punitive General Damages.” But the SPDC and its parent companies appealed the ruling on the ground that the spill was a third-party incident during the civil war. The appeal was dismissed.The SPDC proceeded with a further appeal to the Supreme Court in 2017. On January 11, 2019, Shell’s appeal was dismissed after it gave the community a Bond Guarantee for First Bank to pay the value of the Judgment debt earlier pronounced by the Appeal Court, with interest amounting to about N182.8 billion.

However, at Shell’s request, on May 28, 2019, the UK court set aside the application by the community pursuant to section 9 of the Administration of Justice Act 1920 prohibiting registration since an appeal was still pending before the Nigerian Supreme Court. Although the case was withdrawn in July 2020, the State government refiled a fresh case at the Rivers State High Court without joining the Minister of Petroleum Resources.

 

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