ChevronTexaco Declares Force Majeure on Nigeria Production

ChevronTexaco said that ethnic violence in the Niger Delta area has forced its Nigerian affiliate to shut in 140,000 barrels per day of oil production and declare force majeure on its oil exports.

According to Chevron Nigeria spokesperson the company has declared force majeure following the shut-in of all its onshore and swamp locations in the Western Niger Delta as a result of the ongoing unrest in the area.

The total amount of production shut in is 140,000 barrels of oil per day, which has impacted the company's ability to deliver on the rest of its March and April 2003 lifting programs.

Earlier, the company closed three flow stations in the Niger Delta area due to ethnic violence. The closing of these flow stations will resulted in an initial loss of 30,000 barrels per day of crude production. The company said the shutdown was a precautionary measure to ensure worker safety. ChevronTexaco had suspended crew rotation at its Escravos operation and restricted movements in the waterways on Tuesday after fighting edged to its Escravos oil tank farm, killing one contract worker and wounding another.