Thursday 11 August 2016

ExxonMobil to try alternate pipeline to export Nigeria's Qua Iboe crude



ExxonMobil is working on a plan to export Qua Iboe crude oil via an alternate pipeline while it repairs damage to the main export line sustained in July.

The crude oil grade, Nigeria's largest export stream, has been under force majeure since mid-July, when the company said it detected a "system anomaly" on the subsea pipeline.

According to Reuters, sources said the company later found substantial damage that would take at least one to two months to repair.

An Exxon spokesman declined to comment on the plan to use an alternative pipeline, saying: "We're continuing to make progress, but we would not speculate on a timeline for repairs."

Nigeria's oil production has been hobbled by militant action since the beginning of the year, with state oil company NNPC saying pipeline attacks have taken out some 700,000 barrels per day (bpd) from production that is typically just above 2 million bpd.

In addition to Qua Iboe, crude oil streams Forcados and Brass River are also under force majeure, while Bonny Light and Escravos exports have been hampered by pipeline closures.

Exxon has said there was no militant involvement in the problem on the Qua Iboe line, though the Niger Delta Avengers claimed an attack on the 48" pipeline just days before the force majeure was announced.

No comments:

Post a Comment