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MPN wins Idoho facility spill suit
By
Charles Okonji
Senior Business Correspondent, Lagos
A
Federal High Court in Benin, Edo State capital, has delivered judgement in
favour of Mobil Producing Nigeria Unlimited (MPN), a subsidiary of ExxonMobil,
over a 1998 oil spill at the company’s Idoho facility.
In
the ruling delivered on October 26 and which was in relation to lawsuits
arising from the spill, the court said the spill did not impact on any
plaintiffs.
The
company’s Executive Director for External Relations, Mr. Udom Inoyo,
while reacting to the ruling, said after the spill occurred in January 1998,
“MPN immediately assumed responsibility for the incident and contained
and cleaned-up the oil within a matter of days.”
Inoyo,
who pointed out that almost all of the oil remained at sea where it evaporated,
said that the company still treated spill with dispersing agents to protect the
shorelines.
He
said: “Extensive scientific studies, conducted jointly between MPN and
the Nigerian government, scientifically confirm that the spill had no adverse
effect on the environment.
“It
has been MPN's contention that the Plaintiffs were not impacted by the spill.
We are happy that the court agrees with our position. The company deeply
regrets that this incident occurred, and has already paid compensation to
parties that may have been affected by the spill,” he added.
However,
Federal High Court in Lagos had ordered the company to pay three Niger Delta
communities N1.4 billion ($10.1 million) as compensation for the effect of a
1998 oil spill.
Justice
Abdullahi Mustapha, who delivered the judgment, had held the oil company liable
for damage done by floating crude oil to fisheries and the ecology of the
coastal communities of Bonny, Brass and Andoni.
The crude oil, the judge ruled, was part of the over 40,000
barrels spilled when a pipeline connecting ExxonMobil’s offshore Idoho
platform to its Qua Iboe oil export terminal, succumbed to wear and tear in
January 1998. The company had argued in court it was not oil from its facility
that had caused the damage complained against by the communities.
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