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Shell in Nigeria: Court acquits firm on most charges Shell Nigeria case: Court acquits firm on most charges
(about 1 hour later)
A Dutch court has rejected four out of five allegations against Anglo-Dutch oil giant Shell over oil pollution in Nigeria's Niger Delta region.A Dutch court has rejected four out of five allegations against Anglo-Dutch oil giant Shell over oil pollution in Nigeria's Niger Delta region.
But it found a subsidiary of the firm, Shell Nigeria, responsible for one case of pollution, ordering it to pay compensation to one Nigerian farmer. But it found a subsidiary of the firm, Shell Nigeria, responsible for one case of pollution, ordering it to pay compensation to a Nigerian farmer.
The level of damages in that case will be established at a later hearing. Shell said it was "happy" with the verdict in the landmark case.
The landmark case against the Anglo-Dutch firm was brought by four Nigerian farmers and Friends of the Earth. The case was brought by four Nigerian farmers and Friends of the Earth, which says it is "flabbergasted".
The case is linked to spills in Goi, Ogoniland; Oruma in Bayelsa State and a third in Ikot Ada Udo, Akwa Ibom State. The campaign group says it intends to appeal.
It launched the case in 2008 in the Netherlands, where Shell has its global headquarters, seeking reparations for lost income from contaminated land and waterways in the Niger Delta region.
'Fish ponds poisoned'
It is the first time a Dutch-registered company has been sued in a domestic court for offences allegedly carried out by a foreign subsidiary.
"We are very pleased with the verdict," Allard Castelein, of Shell, said after the verdict was announced.
"First of all I should say that we were never pleased with the court case in its own right but we are very pleased that the parent company is not liable under any of the complaints issued."
The case was linked to spills in four areas of the Niger Delta - Goi, Ogoniland, Oruma in Bayelsa State and a third in Ikot Ada Udo, Akwa Ibom State.
The farmers had alleged that oil spills had poisoned their fish ponds and farmland with leaking pipelines.The farmers had alleged that oil spills had poisoned their fish ponds and farmland with leaking pipelines.
The court said Shell was only guilty of negligence. The court found that the spills were not the result of a lack of security or upkeep but due to sabotage.
"The district court has established that four oil spills were not caused by defective maintenance by Shell but by sabotage from third parties," the court said in its judgement."The district court has established that four oil spills were not caused by defective maintenance by Shell but by sabotage from third parties," the court said in its judgement.
It said according to Nigerian law, the firm was not responsible for damage caused in this way. It said that, according to Nigerian law, the parent company was not responsible for damage caused in this way.
However, in one case it found Shell Nigeria culpable of neglecting its duty of care and ruled that: "Shell could and should have prevented this sabotage in an easy way". However, in one case, it found subsidiary Shell Nigeria culpable of neglecting its duty of care and ruled that: "Shell could and should have prevented this sabotage in an easy way".
Friends of the Earth have said they are "flabbergasted" by the verdict and intend to appeal. The level of damages in that case will be established at a later hearing.
The Shell Petroleum Development Co is the largest oil and gas company in Nigeria - Africa's top energy producer - with an output of more than one million barrels of oil or equivalent per day.