2015 Social Investment: ‎Shell spent $195. 5m in Nigeria

*Shell.

*Shell.

*As crude theft, illegal refining others characterized operations in 2015

Kunle Kalejaye

18 June 2016, Sweetcrude, Lagos — Shell companies in Nigeria have said a total of $195.5 million was spent on social investment in the country in 2015.

Managing Director and Country Chair, Shell Companies in Nigeria, Mr Osagie Okunbor who stated this at the weekend in Lagos said the amount made Nigeria the largest concentration of social investment spending in the Shell Group.

Of the amount, Mr Okunbor said some‎ $145.1 million was paid to the Niger Delta Development Commission, NDDC as required by law

He added that another $50.4 million was directly expended in social investment projects by the Shell Petroleum Development Company of Nigeria, SPDC, Limited operated Joint Venture and Shell Nigeria Exploration and Production Company, SNEPCo.

“These spend level have not come about by accident, Okunbor said adding that “Shell and its partners believe they can make a real difference in the lives of Nigeria, and we have targeted our investments at the community and enterprise development, education and health.

“Of course, we cannot take the place of government but we are keen to play our part in the development of a country we’ve been part of for than 50 years.”

Mr. Okunbor said Shell companies in Nigeria will continue with their contributions to developing the country’s human capital and contracting capacity‎ noting that some $0.9 billion have been spent on local contracting and procurement stressing that ownership of key assets such as rigs, helicopters and marine vessels was a key focus of these efforts to support Nigerian and community contractors‎.

He also hinted that Shell Companies in Nigeria are also actively involved in the development and utilisation of natural gas, pioneering its production and delivery to domestic consumers and export markets.

“Although the SPDC JV’s market share of domestic gas has reduced through a series of divestment since 2010, which‎ enables Nigerian companies to play a more strategic role, Shell companies still remain a crucial part of the national gas energy mix.

“For example, our Afam VI power plant alone contributed 14 percent of Nigeria’s grid-connected electricity in 2015, consolidating its achievement since first power in August 2008. Another entity, Shell Nigeria Gas, SNG supplies natural gas to 87 industrial customers,” Mr Okunbor said.

He highlighted crude oil theft, illegal refining and insecurity as the key challenges in 2015 noting that; “We are constantly monitoring the security situation in our operation areas in Niger Delta and are taking all possible steps to ensure the safety of staff and contractors‎.”

About the Author