SHELL COMPANY OIL SPILLS IN NIGERIA
By
MOHAMMAD MOHIB SIDDIQI
H00034532
Executive Summary
Shell is one of the global energy and petroleum companies around the world. The strategy of Shell Company is to generate more profit for the organization and to move forward the business investments so that Shell Company is sustaining a competitive situation in the Global market and to provide revenues to the shareholders by meeting the global demand. Shell Company believes that oil and gas will remain one of the integral needs of global energy for economic development and Shell Company role is to provide the global with the high standard oil and gas without out harming the
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According to Shell Global (n.d.) one of the largest branches of Shell Company is Shell Petroleum Development Company (SPDC) in Nigeria which has joint venture with Nigerian Government’s Nigerian National Petroleum Corporation (NNPC). The ratios are divided in a method of 55% to Nigerian Government, 30% to Shell Company, 10% to ELF Petroleum Nigeria Ltd and 5% to AGIP. The operation of SPDC in Nigeria has added $38 billion to the Nigerian Government in the past five years (2007-2011) together with the taxes and royalty payments. The Nigerian Government receives 95% of its profit from SPDC onshore oil and gas production in Niger Delta. In relation to Shell Company’s relation following are some key aspects.
1.1.1 Ethical Standards and Code of Conduct:
The outlay of Shell Company’s ethical standards and issues are noted under the Company’s ethical code of conduct. The Shell Company employees cannot make decision which can involve conflict of interest. It is written in code of ethics that the employees of Shell Company cannot receive gifts or payments from the contractors or other involved parties with Shell Company. The employees should behave fairly with the customers and should understand the nature of their diverse work and should never discriminate. The employees of Shell Company cannot take part in financial interest activities. They are strictly forbidden to interact with the
Mountain Man Brewing Firm was an autonomous, relations owned brewery that produced the Mountain Man Lager, a beer recognized for its authenticity, quality and toughness. It had a distinctive rancid taste, somewhat higher than average alcohol content and was believed a forceful working man’s beer. It was rated the “Best beer in West Virginia” for 8 straight years. It was additionally rated as the “Best beer in Indiana”, “America’s championship lager”, “Best recognized local beer” and the “West Virginia beer”. Scutiny had shown that the Brewery was as recognizable brand amid working class males as Chevrolet or John Deere and this was the cornerstone of the brand’s accomplishment alongside blue collar customers. Brand frolicked a critical act in beer buying decision. Mountain Man was a legacy brew in a mature market. It relied on its past and rank as an autonomous, relations owned brewery to craft an aura of authenticity.
The demand for oil is ever expanding as the world’s energy needs continue to increase resulting in companies striving to meet the demand for oil production. The huge costs of oil importation are what ultimately push the need to tap into our backyard rather than import oil from countries around the world for significantly higher prices. While oil corporations can be credited with providing people minimized costs of products due to their offshore oil drilling efforts. The fact of the matter is that having a cleaner environment is seen as being more vital than having a cheaper product at the cost of an unhealthier environment. Though, many experts agree that the potential risks of offshore oil drilling are often exaggerated, recent disasters such as the British Petroleum (BP) oil spill have proven
The only argument one can come up with is that an oil spill is a sad side effect of a very necessary oil industry. The oil industry plays a role in almost all machine based industries. It has arguably become the most sought after source of energy. Without the oil industry, much of the world would come to a halt. The energy based market would plummet. So, if minor oil spills and occasional large spills are required to keep the market intact and the energy output in the world consistent, technological enthusiasts will allow it. Even though we can always bring up the importance of the oil industry, on the contrary, an understanding and reasonable person would argue that since our world is being harmed by the oil, its acquiring process, and how the supply is slowly depleting, these oil conglomerates should stop trying to pretend that everything is and stop milking the oil industry till it fails and as the world have nothing to fall back
In Canada, if there was an oil spill, the company responsible for the spill has to pay to clean it up, but usually they do not pay the total costs and will use a legal team to try to get them out of paying when the total cleanup costs for oil spills are anywhere from $30 million - $40 billion depending on the severity which leaves the government (and by extension- taxpayers) are the ones most likely to pay most of the cleanup
The effect of oil spill is usually calculated in terms of damage on the environment, aftermath on marine species, and effect on the tourism and fishery industries. The impact on human health is less known relatively. The financial costs associated with oil spills are also a factor. Arguably, it is a less serious consequence of an Oil Spill, however the financial costs have the potential to bankrupt an organization. BP suffered major financial loss as a result of the Oil Spill in the Gulf of Mexico. They have paid up to $1.5 billion in an effort to settle various claims and compensation. (BP, n.d)
In her case study, the author Emily Ahonen (n.d) makes us revisit the gulf oil spill that took place on April 20, 2010. She begins the paper by giving us a brief background about the Gulf oil spill and how it went on to become the largest spill in the history of U.S. The drilling rig, Deepwater Horizon, is believed to have exploded due to “a series of safety, regulatory, and oversight problems” (Ahonen, n.d.). As stated by the National Oil and Hazardous Substance Pollution Contingency Plan (NCP) of 1994, the Gulf spill was declared a spill of national significance after nine days of disaster. The NCP held the responsible party, British Petroleum, accountable for the costs related to response efforts.
I value my education and I take my studies very seriously. To be given the opportunity to study Social Work further is highly significant to me and I intend to work for my master’s degree after graduating with my Bachelor’s in social work from Bennett College for Women. I am passionate about social work and I look forward to getting my MSW and making a difference in the community as well as people’s lives. I know that with a social work my goals can be accomplished and I will enjoy my career. I have gained some insight into Sexual Assault while being at an all women institution and seeing my peers take care of their own situations. My Bennett sisters who were victims of sexual assault suffer from depression, left the school and or wanted to commit suicide because of multiple reasons that made them feel unsafe. The difficulties they faced on a daily basis while suffering because the person that assaulted them did not receive any penalty and was allowed to still be on our campus. Another experience was a family member who was a victim and was told to keep it a family secret and could not rely on anyone to protect them. I also have a heart for working with Domestic Violence. During my adolescent years, I both witnessed and experienced Domestic Violence. This had a profound effect on me and after a process of soul searching as to the best use of my skills whilst at the same time satisfying a need to give something back, These personal experiences instilled in me further the
As of the most powerful and important position in the world, the President of the United States has a duty and obligation to present the truth to the American people and the rest of the world. But as shown from the 2016 election cycle and current presidency, it appears that the truth can be substituted by “alternative facts”.
Understanding how oil spills often happen makes it easy to see that not only are they messy and dangerous, they are also inevitable. They can be lessened though. For years we have been told that drilling for oil was safe and that the chances of a catastrophic oil spill happening was too small to worry about. This was
Both the Exxon and British Petroleum spills were tragic to the wildlife, environment, economy and local citizens. In each scenario, the disaster could have been avoided, thus the organizations had to change their views on how to operate in the future years. The following essay will describe Exxon’s organizational performance and change goals, as well as, a comparison between the Exxon and British Petroleum spills.
Nigeria has been a country in political turmoil for a long time. The country was created in 1914 under British colonial rule and at that time it was considered a protectorate. It was not until 1960 that Nigeria received independence from the United Kingdom. One of Nigeria's problems politically is that it has over three hundred different ethnic groups. The three largest of these are the Hausa-Fulani, Igbo, and Yoruba. At the time of the independence of Nigeria it was split up into three states with each state being under the control of one of the major ethnic groups. The natural resources of the other 297 ethnic groups were exploited for the major three groups,
In 2010 on April 20th the Gulf of Mexico had seen the worst environmental disaster the world had ever seen. It started as an explosion on a BP oil rig that took the lives of 11 people and injuring 17 while leaking "...at least 3 million barrels of oil..." (Bryant & Hunter, 2010, para. 2 This was not the first accident that has happened to BP but, certainly the most costly. In 2005 there was an explosion at a refinery in Texas that killed 15 and injured over 180 people (Bryant & Hunter, 2010). They ended up paying over "...2 billion in damages and lawsuits" (Bryant & Hunter, 2010, para. 5). With the 2005 incident, BP had cut costs in their operating budget and also lowered the safety standards of the company (Bryant & Hunter, 2010). There
Shell is the largest oil, gas, and energy company compared to Total, Exxon, Chevron, and BP. Shell is very competitive and innovative because they out-think their competition & always change their strategy to be the best. Shell changed their name from Shell Oil & Gas to Shell Energy to set them aside from the competition which was a brilliant move. Peter Voser, the Chief Executive Officer of Royal Dutch Shell stated, “We are delivering a strategy that others can’t easily repeat, with unique skills in technology and integration and a worldwide set of opportunities for new investment”. Shell recently invested and merged with BG Group and changed the entire portfolio which could possibly make them billions in the
Shell is a global group of energy and petrochemical companies. Their operations are divided into four businesses, which are upstream, downstream, integrated gas, and projects and technology. Upstream focuses on exploration of new liquids and natural gas reserves. Integrated gas focuses on liquefying natural gas (LNG) and converting gas to liquids. The downstream division turns crude oil into a range of refined products, which are then moved and marketed around the world for use. Projects and technology is responsible for delivering new development projects (“What We Do”).
The company planned to consolidate its leadership position in the West African Aviation fuel sector, with the expansion of Cameroun, Port Harcourt, Sokoto, Calabar, Maiduguri, and Enugu airports. The company has strengthened grip in the aviation fuel sector in Nigeria, Togo and Cote d’Ivoire; winning major contracts for the supply of JET1 to various international airlines operating in West Africa.