NIGERIAN communities are demanding 505 billion naira ($310 million) in compensation from Shell for damage to their farms and environment caused by oil spills, according to court documents filed on Friday.
Reuters reports that villagers are also seeking to halt Shell’s planned $2.4 billion sale of its onshore assets in the Niger Delta, claiming the deal violates a previous court order.
According to Reuters, over 1,200 representatives from Ilaje communities in the Niger Delta have asked the Federal High Court in Abuja to block the asset sale. They argue that Shell is breaching a December 2023 ruling that suspended any asset sales until an ongoing compensation lawsuit is resolved.
The communities accuse Shell of causing oil spills that have severely impacted their waterways and farmlands, destroying livelihoods and damaging the local ecosystem. Reuters reports that in their court filing, they state that Shell should face penalties for proceeding with the asset sale “when the plaintiffs and the host of their community members have remained in perpetual suffering over the failure of the defendants to obey the preservative orders of a competent court.”
Shell has consistently maintained that most oil spills in the region result from theft and pipeline interference rather than operational issues. The company did not immediately respond to requests for comment on this latest legal action.
This case is part of a broader pattern of legal challenges Shell has faced both in Nigeria and internationally, with communities seeking environmental restoration or compensation for land damaged by historical oil spills.
The proposed asset sale, which would mark Shell’s exit from Nigeria’s onshore oil and gas sector, still requires approval from the country’s energy regulator and petroleum minister.
It remains unclear when the court will hear this latest case.
