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Nigerian community fights Shell in UK court hearing

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AFP London
Last Updated : Apr 29 2014 | 4:53 PM IST
Legal arguments began in court today in a compensation claim brought by about 15,000 members of Nigeria's Bodo community against oil giant Shell for the damage caused by two spills in 2008.
Britain's High Court will consider the key legal issues ahead of a full trial expected in May 2015, according to the community's London-based law firm, Leigh Day.
The two sides failed to reach a compensation deal last year, with Leigh Day calling Shell's initial offer "insulting".
Sources familiar with the talks said the British-Dutch company proposed a settlement of USD 46 million.
Lawyers for the villagers say the local environment was devastated by the two spills, depriving thousands of subsistence farmers and fishermen of their livelihoods.
Martyn Day, senior partner at Leigh Day, said each individual would end up with around USD 1,700 after subtracting a lump sum to be paid to the community.

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He claims most of the fishermen affected by the spills earn USD 5,000 to USD 8,400 per year.
"Our clients know how much their claims are worth and will not be bought off cheaply," Day said in a statement.
According to Leigh Day, experts estimate the spills in the cluster of fishing communities in Rivers state to be between 500,000 and 600,000 barrels.
Shell was quick to acknowledge liability for the spills and formally agreed this with Leigh Day in 2011, but it disputes the amount of oil involved and the extent of the damage.
The company, the biggest producer of oil in Nigeria, has said that sabotage, illegal refining and theft have slowed the clean-up process.
Shell Petroleum Development Company of Nigeria Limited (SPDC) has also blamed lawyers for delaying the payment of compensation, saying the case should have been dealt with in Nigeria.
Nigeria is Africa's biggest crude producer, but much of the Niger Delta oil region remains deeply impoverished.

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First Published: Apr 29 2014 | 4:53 PM IST

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