Court Reserves Judgment in Oil Spill Lawsuit as 1,216 Plaintiffs Accuse Shell of Evading Liability

by Oluwatosin Racheal Alabi

KEY POINTS


  • 1,216 plaintiffs sued Shell, alleging that oil spillage from its operations caused environmental damage in their communities.
  • Shell denied responsibility, arguing it has no operations in the affected area and that the Bonga field is operated under NNPCLโ€™s lease.
  • The Federal High Court in Abuja reserved judgment for May 4, 2026, after both parties adopted their affidavits and arguments.

The Federal High Court in Abuja has reserved judgment in a lawsuit filed by 1,216 plaintiffs against Shell Petroleum Development Company Nigeria Limited (SPDC) over alleged crude oil spillage that reportedly affected their communities.

The plaintiffs claim that Shellโ€™s operations led to the discharge of a massive and uncontrollable volume of crude oil into their communities, causing environmental and economic damage.

At the resumed hearing before Justice Obiora Egwatu, legal teams representing Prince Afolabi Akinruntan and 1,215 others and Shell Petroleum presented their arguments and counter-arguments. Following submissions from both sides, the court fixed May 4, 2026, for judgment.

Plaintiffs Accuse Shell of Defying Court Order

During proceedings, counsel to the plaintiffs alleged that Shell had disobeyed a Mareva injunction, which is meant to prevent a party from disposing of assets pending the outcome of litigation.

According to the plaintiffsโ€™ legal team, the company allegedly proceeded to sell off its assets in Nigeria despite the injunction, claiming this was an attempt to evade responsibility for environmental damage linked to the oil spill.

They urged the court to rule in their favour, arguing that Shellโ€™s actions amounted to a deliberate attempt to escape potential penalties and liabilities associated with the alleged spillage.

In response, Shellโ€™s lawyer, Babatunde Ige, adopted a counter-affidavit and preliminary objection, urging the court to dismiss the suit.

Shell argued that it does not operate or hold assets in Ondo State, where the plaintiffs claim the damage occurred, and therefore could not have caused the alleged environmental harm.

The company further clarified that Oil Mining Lease 118 (OML 118), which includes the Bonga Floating Production Storage and Offloading (FPSO) facility, is owned by the Nigerian National Petroleum Company Limited (NNPCL).

Shell also rejected claims that it was exiting Nigeria to avoid legal liabilities.

The company stated that it remains a going concern, operating the SPDC Joint Venture alongside NNPCL, TotalEnergies EP Nigeria Limited, and Nigerian Agip Oil Company Limited.

According to the affidavit, the company maintains a balance sheet size of about โ‚ฆ3.21 trillion and still holds interests in 18 Oil Mining Leases under the joint venture.

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