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The Wall Street Journal: Shell Begins Cost Cuts In Nigerian Operations

June 11, 2007; Page A14

Royal Dutch Shell PLC said it has started implementing cost cuts to its Nigerian operations that are likely to include job reductions, to combat rising costs and falling oil revenue caused by production outages.

Shell is the biggest Western oil company in Nigeria, Africa’s largest oil producer, through its 30% stake in a government-run venture, Shell Petroleum Development Co. A spokesman declined to comment on exact measures the cost-cutting program entails.

A Nigerian news report said yesterday several hundred job cuts were planned.

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