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Nigeria LNG declares force majeure on exports as blockade continues

By SARAH KENT

LONDON -- Nigeria LNG said Monday it had declared force majeure on its exports of liquefied natural gas as a blockade by Nigeria's maritime regulator over a tax dispute entered its second week.

The blockade, which has prevented liquefied natural gas tankers from accessing Nigeria LNG's loading terminal on Bonny Island since mid-June, is the result of a long-standing dispute over the payment of duties on freight and exports between the company and the Nigerian Maritime Administration and Safety Agency.

The company, which is a joint venture between Nigeria's state oil company, Royal Dutch Shell, France's Total and Italy's Eni, said in a statement emailed to the Wall Street Journal that it had declared force majeure effective from Friday, June 28.

A force majeure is declared when a company is unable to fulfill its contractual obligations to deliver exports due to circumstances beyond its control.


Dow Jones Newswires

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