Business Report: Shell unit pays $1.86bn taxes to Nigerian state
“Last year Shell reduced part of its production in western Niger Delta, following the escalation of ethnic conflict in the area”
July 6, 2004
Lagos – Shell Petroleum Development (SPD) paid $1.86 billion (R11.41 billion) in taxes to the Nigerian government last year through its Nigerian joint venture, according to media reports.
SPD, Shell’s Nigerian subsidiary, operates a joint venture with state-run Nigerian National Petroleum (NNP), in which NNP holds 55 percent, SPD 30 percent, Total 10 percent and Agip (a unit of Italy’s ENI), 5 percent.
Nigeria’s Guardian newspaper quoted Precious Omuku, SPD’s director of external relations, as saying the partners paid $1.26 billion as petroleum profit tax and $600 million as royalties. Omuku was speaking at the presentation of Shell’s 2003 People and Environment Report in Lagos.