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Strike forces Exxon Nigeria to start shutting output

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Reuters: Strike forces Exxon Nigeria to start shutting output

Fri Apr 25, 2008 12:28pm BST

LAGOS, April 25 (Reuters) – Exxon Mobil (XOM.N: Quote, Profile, Research) started closing down its oil output from Nigeria on Friday because of a strike by workers, with one union official saying 200,000 barrels per day of crude were already shut in.

“The entire company is on strike today. All output (from Exxon’s Nigerian oilfields) is affected,” an Exxon official, who asked not to be named, said.

The Petroleum and Natural Gas Senior Staff Association of Nigeria (PENGASSAN) called the strike, targeting oil production and exports, over a labour dispute with Exxon Mobil’s local unit.

The Nigerian government had met with the feuding parties on Wednesday and asked them to resume negotiations.

“There was no deal, the strike is on, Mobil offices are all shut,” PENGASSAN President Peter Esele told Reuters.

Exxon Mobil is the largest oil producer in Nigeria, the world’s eighth-biggest oil exporter, producing some 800,000 bpd in a joint venture with the state. The company’s equity share is around 427,000 bpd.

“As we speak now, about 200,000 barrels have already been shut,” a senior union official, who asked not to be named, said.

(For full Reuters Africa coverage and to have your say on the top issues, visit: africa.reuters.com/ )

(Reporting by Tume Ahemba and Ikuko Kao; Writing by Nick Tattersall; editing by James Jukwey)

http://uk.reuters.com/article/oilRpt/idUKL2579417320080425

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