Nigeria Risks Losing 550,000 bpd over striking Exxon Mobil Former Emloyees

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Oil giant ExxonMobil on Monday decried a blockade mounted by its former employees around its facilities in Nigeria.

The oil firm said the activity threatens crude production and such “disruptions to these operations have the potential to significantly impact revenues.”

Reuters reports that the company, in a statement, said on Monday that the blockade was characterised by “playing of loud music, defacing of company facilities and intimidation of personnel.”

The company added that “continued denial of access to production facilities could impact the company’s ability to safely continue production operations.”

This is coming after a six-week blockade by former workers at the oil facilities.

In July, the Lagos headquarters of ExxonMobil was shut down by the company’s workers’ unions over the alleged dismissal of 860 security personnel without entitlement. The workers besieged the office of the oil company, protesting the sacking of workers, mainly Nigerians. The protesters accused the company of sacking the workers most of whom had worked with the company for over 22 years without regards for the rule of law.

Mobil Producing Nigeria, the ExxonMobil subsidiary that released the statement, produces over 550,000 barrels per day of crude oil, condensates and natural gas liquids.

According to the National Bureau of Statistics, Nigeria’s average production in the second quarter of 2018 was 1.8 million barrels per day. Officials at the oil company feared the blockade may affect the nation, which relies heavily on oil revenue.

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