Chevron Nigeria Shuts in All Western Niger Delta Production

Chevron Nigeria Limited has now shut in all of its oil production in the Western Niger Delta as a result of the ongoing unrest in the area.

The action follows a decision taken by CNL to relocate its workers from the Escravos terminal and offshore platforms.

Jay Pryor, Chevron Nigeria Managing Director, said: "The safety of people is our absolute priority and is the reason for our decision to shut in production and relocate our people and community members displaced by the crisis to safe locations. While we do not believe the unrest is directed towards CNL people or assets, we do not consider it safe for our people to remain in the Western Niger Delta, given the current situation."

The total amount of CNL operated production shut-in is now 440,000 barrels of oil per day and 285 million cubic feet of gas, in which the Company has a 40% equity interest.

Moves to relocate CNL's workers come as the Company continues to evacuate community members who sought refuge in the Escravos terminal after being displaced by the unrest. Over 1,600 displaced community members have already been airlifted to safety by CNL since the start of the fighting to protect them from harm. The CNL workers at the terminal and offshore platforms are being airlifted either to Warri, 60 kilometers northeast of Escravos, or to Lagos.

Production has been shut down in a controlled manner to ensure the terminal and associated production facilities remain in a safe and environmentally stable condition.

The relocation comes at the end of a week of sporadic violence in the area -- violence that has tragically claimed the lives of many people, including that of a CNL contract employee who was hit by a stray bullet.

"We are profoundly saddened by the loss of many lives that has occurred and we would once more urge all parties to exercise restraint and to seek a peaceful resolution to this situation," said Pryor.

CNL has been in close contact with the Nigerian government and our Joint Venture partner, the Nigerian National Petroleum Corporation (NNPC) since the start of the unrest. CNL is hopeful that it will be able to restart operations as soon as the situation allows.


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