Royal Dutch Shell announces £55m deal over Niger Delta oil spill

Jessica Morris
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Shell has announced a £55m deal with residents of the Bodo community (Source: Getty)

Oil Giant Shell has announced a $84m (£55m) agreement with residents of the Bodo community, which will compensate them over two oil spills.

The settlement, thought to be the largest of its kind to an African community, marks the first time affected individuals have been compensated directly.

Claims through Nigerian authorities usually result in disbursement to community chiefs, according to law firm Leigh Day which represented the community.

Each member of the Bodo community will receive an equal share of around £35m, and the remaining sum will be used to build health centres and schools.

Mutiu Sunmonu, managing director of Shell's Nigerian joint venture, said:

From the outset, we've accepted responsibility for the two deeply regrettable operational spills in Bodo.

We've always wanted to compensate the community fairly and we are please to have reached an agreement.

The deal, which marked the end of a three-year legal battle, was below the reported £300m sought by the Bodo community.

An earlier report by Amnesty International, a human rights group, found oil spills from Shell's Trans Niger Pipeline caused health problems for residents of a town in the Ogoniland region. It also disrupted trade for local fisherman.

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