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Shell to pay 15 million euros to Nigerian farmers for causing oil spill

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The oil giant Shell has agreed to pay 15 million euros in compensation to Nigerian farmers for causing oil spills that severely polluted three villages in the Niger Delta 

The oil giant Shell has agreed to pay 15 million euros in compensation to Nigerian farmers for causing oil spills that severely polluted three villages in the Niger Delta.

This follows the ruling of a Dutch court. The court in 2021 ruled that Shell’s Nigerian subsidiary was liable for damages resulting from the oil spills. The court ordered Shell to pay compensation in the long-running lawsuit brought by four Nigerian farmers.

Shell will pay an amount of 15 million euros for the benefit of communities and individual plaintiffs, according to the company sources. While announcing this compensation, the Shell insisted that the agreement should not be seen as an admission of liability. It further said that the compensation announced would settle all claims and end all pending litigation related to the spills.

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Supported by Milieudefensie – the Dutch branch of the international organization Friends of the Earth – four Nigerian farmers and fishermen had taken the case to the Dutch courts in 2008. They demanded that Shell – whose headquarters were then in The Hague – pay for the clean-up work and pay them compensation. In the meantime, Shell’s defence was that the spillover of oil had taken place because of sabotage. It is expected that the trend set by Shell as a result of the court order may become the new standard governing similar cases. The companies will not be allowed to escape the liability, if they caused damages to the environment.

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