25th march 2015

The Managing Director
Shell Nigeria Exploration and production company(SNEPCO)
Freeman House, 21/22 PMB 2418, Marina lagos.

Please refer to your letter Ref.NO SNEPCO-LEG-2014-0012L dated 30th December,2014 in response to our Notification of Sanction in respect of the Bonga oil spill dated 19th December, 2014.
(2) It should be noted that the clean-up purportedly carried out by your company did not restore the Ecology and attendant ecological services. The Agency’s position has been corroborated by the Post impact assessment (PIA) report submitted by SNEPCO and the Damage assessment report on the Bonga crude oil spill which revealed that reversible and irreversible impacts were caused to the natural resources and services upon which the shoreline communities and their inhabitants eke out their living. Consequently your characterization of damage assessment as “actual” impact and damage suffered” is an attempt to evade responsibility.
(3) Furthermore the Agency being the lead Authority in all matters of oil spill management in Nigeria has not delegated any of its roles to a multi- stakeholder committee initiated by your company. The Agency wishes to further state that none of the Shoreline communities and fisher persons identified to have suffered from the effect of the Bonga crude oil spill is in court.
(4) It is pertinent to state that by virtue of the relevant provisions of the National oil spill Detection and Response Agency ( Establishment) Act, the Agency has the statutory mandate to assess any damage caused by an oil spillage. It has therefore acted within its mandate in holding your company liable for damage caused by the Bonga oil spillage to ecological and human services.
(5) WE HEREBY DEMAND that SNEPCO should comply with the damage assessment report made pursuant to your PIA Report and other technical information available by paying the sum of $3, 600, 191, 206,.00 billion or its equivalent in Naira as compensation and punitive damages levied against it alongside the administrative costs and fees of the consultants engaged to carry out the assessed damage within
(7) days of receipt of this letter.
(6) OTHERWISE, at the expiration of the one week period of grace, we shall have no option than to invoke all legal machinery available to ensure your company’s compliance.

Sir Peter Idabor
Director- General/Chief Executive.

The Director General/ Chief Executive
National oil spill Detection and Response Agency,
NAIC Building Central Business District Abuja.
31st march 2015

Your ref: NOSDRA/OFA/131/VOL.V1/412
Our ref: SNEPCO-HSE-2015-0025L

Dear sir,

We refer to your letter dated 25th march 2015 on the above subject matter in response to our letter dated 30th December, 2014, wherein you demanded for the payment of the sum of $ 3.6bln or its equivalent in Naira as compensation and punitive damages levied against SNEPCO, alongside the administrative costs and fees of the consultant engaged to carry out the assessment being 10% of the assessed damage, within (7) days of receipt of your letter.
We again reassure you that SNEPCO is a responsible and law abiding company which abides by the laws governing its operations. Consequently we have again reviewed the enabling laws governing NOSDRA and other applicable laws, and have been unable to find the legal basis for your demand for compensation and punitive damages.
As a creation of law NOSDRA is bound to act within the ambit of the law, and we are confident that you will continue to do.
Furthermore as we inform you in our letter dated 30th December, 2014 ( a copy of which is attached for ease of reference), the issue of compensation for the Bonga oil spill, is pending before the courts, and we are therefore unable to engage in any discussion/acts which would interfere with the powers of the court.
For the above reasons we again reiterate the position contained in our letter dated 30th December 2014, that we are unable to accede to your demand.
Yours faithfully
Tony Attah
Shell Nigeria Exploration and Production Company limited
Managing Director
This series is from the stable of the oil spill victims vanguard a non- governmental organization( NGO) incorporated with the corporate affairs commission, OSPIVV is an initiative whose main object is dedicated to fight for compensation for victims of oil spill, health hazards of gas flaring, transparency and accountability in the Extractive industries in Nigeria.
Executive Director OSPIVV

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