SHELL AGBADA FLOW STATION SHUT DOWNS

UNCLAS LAGOS 001332 SIPDIS STATE FOR AF/W STATE FOR EB/ESC/IEC/SGALLOGLY STATE FOR EB/ESC/IEC/EPC/FDOWDY STATE FOR DS/IP/AF STATE FOR INR/AA STATE PASS DOE FOR DAS JBRODMAN AND CGAYE STATE PASS TREASURY FOR ASEVERENS AND SRENANDER STATE PASS DOC FOR KBURRESS STATE PASS TRANSPORTATION MARAD STATE PASS USAID FOR GWEYNAND AND SLAWAETZ STATE PASS EX-IM FOR JRICHTER AND KVRANICH STATE PASS OPIC FOR ZHAN AND JEDWARDS STATE PASS TDA FOR NCABOT AND BTERNET E.O. 12958: N/A TAGS: EPET EINV NI ENERG SUBJECT: SHELL AGBADA FLOW STATION SHUT DOWNS -------------- Shell Shuts Agbada Flow Stations -------------- ¶1. (U) Shell Petroleum Development Company (SPDC) has been forced to shut down two flow stations in Rivers State in the last six days. On August 16, SPDC shut its 14,200 barrels per/day Agbada 1 flow station, following protests by host communities in Mbodo-Aluu, Rivers State, over alleged nonpayment of compensation for a 2003 oil spill. Press reports claim protesting youths have not been violent or destructive, but have demanded USD 5 million to compensate four communities affected by the spill. Five days later, on August 21, a second flow station, Agbada 2, was also shutdown by protesting youths. ¶2. (U) August 22, Shell External Affairs Director Don Boham confirmed the protesters allowed the company to reopen the flow stations as negotiations have started afresh with the affected communities. Browne#