Nigeria: Sabotage behind pipeline blast

An explosion that destroyed an Eni SpA oil pipeline in Nigeria's restive southern oil region was caused by aggrieved youths from a nearby community, a military official said Friday.

Col. Chris Musa, the head of the Bayelsa State military, said Thursday's blast was not an accident but "deliberate sabotage" by a group protesting the alleged nonpayment of fees by the energy company to the local population.

Nigeria's major militant group _ the Movement for the Emancipation of the Niger Delta _ had denied any involvement in the blast.

The pre-dawn explosion caused a sudden drop in pressure halting production on pipelines carrying 47,000 barrels of oil a day. The pipes are owned by Agip, a subsidiary of Italian energy company Eni.

Eni said on its Web site Thursday that the cause of the incident was unknown. Units had already been called in to start repairs, it said. Company officials said Friday they had no new information.

Musa said he did not know the extent of the damage to the pipeline and that investigations were under way to find those responsible. There were no casualties, he added.

Attacks on oil industry infrastructure in the past two years have slashed oil output by almost a quarter in Nigeria, Africa's top crude producer. The instability has helped push worldwide crude prices to historic highs.

Comment (0)
Recommended (0)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Compare Brokers

TD AMERITRADE
more info
ShareBuilder
more info
Power E*Trade

more info
Scottrade
more info
Fool Disclosure

DocumentId: 688085, ~/articles/articlehandler.aspx, 8/20/2008 5:57:50 PM,

Sign up for FREE Motley Fool site access!

Already registered? Login Here

It’s FREE! Enter your email address, and we’ll rush you to the article you're looking for right now.

Privacy / Legal Information

We will use your email address only to keep you informed about updates to our web site and about other products and services that we think might interest you. The Motley Fool respects your privacy. Please read our Privacy Statement

.

Related Tickers

Eni S.p.A. (ADR)

E Up! $64.58 +1.03 (+1.62%) 4:03 PM
CAPS Rating:
411 Outperforms
16 Underperforms
Rate This Stock

Major Indices

S&P 5001,274.56+0.62%
DJIA11,417.43+0.61%
RSL 2K731.60+0.22%
NASD2,389.08+0.20%
Updated: 4:04:09 PM
Sponsored by:

The Motley Poll

Where will the U.S. dollar go from here?

Sponsored by: