Chevron Confirms Some Nigeria Workers Began Strike Action Tuesday

HOUSTON Oct. 10, 2007 (Dow Jones Newswires)

Chevron Corp. (CVX) said Wednesday that some workers for its oil venture in Nigeria went on strike without warning.

"Employees of some of the companies providing labor workforce to Chevron, and belonging to the National Union of Petroleum and Natural Gas Workers, initiated strike action Oct. 9 at Chevron's Escravos, Warri, Port Harcourt, Abuja, Onne and Lagos locations," Chevron said in an emailed statement.

Chevron, which operates oil assets in the country jointly owned with the Nigerian National Petroleum Corp., said no notice of the strike was given to management and thus the labor action is illegal.

The Nigerian government and the union's national leadership have been asked to intervene, Chevron said.

"There has been no violence and production operations continue as normal," the statement said.

Nigeria is Africa's largest oil producer and a key supplier of high-quality crude to the U.S. Over the past two years, its output has suffered at the hands of militants in the oil-rich Niger Delta. Companies operating in Nigeria are still recovering from repeated attacks on energy infrastructure, and a large percentage of the country's production capacity remains off line.

Strike action by Nigeria's unions rarely results in production losses, because disputes often are quickly resolved.

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