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News Sport Weather World Service Languages Low Graphics version | Change edition Feedback | Help News Front Page Africa Americas Asia-Pacific Europe Middle East South Asia UK Business Market Data E-Commerce Economy Health Science/Nature Technology Entertainment ----------------- Have Your Say In Pictures Week at a Glance Country Profiles In Depth Programmes Last Updated: Thursday, 2 December, 2004, 10:04 GMT E-mail this to a friend Printable version Nigerian senators threaten Shell The resolution against Shell's unit is not backed by law Nigeria's Senate is to consider sanctions against a unit of oil company Shell for failing to pay a $1.5bn (�775m) pollution penalty. The firm had been told to make the payment by 23 November for alleged environmental damage caused by oil spillage in the Niger Delta region. The Senate is now to examine recommendations for penalties. A letter from Shell rejected the compensation order, describing it as "flawed", Senator John Brambaifa said. The payment resolution was issued by the Senate in August, but does not have force of law. It was approved following a petition by residents of the oil-rich state of Bayesla. In response, Shell said it did not believe the correct legal process had been followed. "We believe that the order to pay $1.5bn in compensation has no legal basis, and, in our view, such disputes can only be decided by a court of competent jurisdiction," a spokesman for Shell told the BBC. Strongly contested The Shell unit, Shell Petroleum Development Corporation, is a joint venture with the Nigerian National Petroleum Corporation, Agip, and Elf. Shell has said in the past that it had "strongly contested" the pollution claims and that it was important to note an earlier resolution from Nigeria's House of Representatives did not endorse the penalty. Mr Brambaifa, who chairs the Senate committee on the Niger Delta, accused the firm of "effrontery", and said it was challenging Nigeria's sovereignty. He added that his committee would recommend measures against Shell's Nigerian subsidiary in the next couple of weeks. "The committee is not very happy with the way Shell has treated the national assembly and so anything can happen," he told BBC News. He said the committee was also investigating Shell's activities in Nigeria in the past four decades, and its impact on the Niger Delta. E-mail this to a friend Printable version LINKS TO MORE BUSINESS STORIES SelectUS importers back China textilesOil prices skid as supplies growDollar down on intervention doubtSluggish economy hits German jobsEuro rates on hold for 18th monthUS car giants consider cutbacksNigerian senators threaten ShellSamsung sees higher mobile profit  NIGERIA: TROUBLED GIANT Obasanjo's thankless task OIL BATTLES Petrol price dilemma Oil capital under siege Profile: Militia leader In pictures The militia fighting for local control of Nigeria's oil wealth COMMUNAL CLASHES Eyewitness: 'Town of death' Analysis: Behind the violence In pictures Learning the lessons in the aftermath of bloodshed MUSLIM NORTH Simmering tensions Sharia 'a political tool' Tracking down Nigeria's 'Taleban' BACKGROUND Country profile Timeline RELATED INTERNET LINKS: NLC Nigerian government Shell The BBC is not responsible for the content of external internet sites TOP BUSINESS STORIES NOW US importers back China textiles Oil prices skid as supplies grow Dollar down on intervention doubt Slow economy hits German jobs News alerts | E-mail services | Desktop ticker | Mobiles/PDAs Help | Privacy & Cookies Policy | News sources | About the BBC Back to top ^^ News Front Page | Africa | Americas | Asia-Pacific | Europe | Middle East | South Asia UK | Business | Entertainment | Science/Nature | Technology | Health Have Your Say | In Pictures | Week at a Glance | Country Profiles | In Depth | Programmes BBC Homepage >> | BBC Sport >> | BBC Weather >> | BBC World Service >> Notes and corrections | Feedback | About BBC News | Profiles | History

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