Shell faces second lawsuit over Niger Delta oil spills

Oil and gas major Royal Dutch Shell is facing legal action in London over spills in the Niger Delta, for the second time in five years.

Two communities have launched claims demanding compensation and costs for the clean up of their land in the Rivers State, on the coast of Nigeria.

According to filings by City law firm Leigh Day, which is handling the claim, spills since 1989 have meant the affected communities do not have clean drinking water, farmland or rivers.

In response, Shell said it is at an "early stage" in reviewing the claims, but that the case should be heard in Nigeria, and not the UK. It also says a clean-up plan had been agreed for 2011.

The company also said pipelines in the area have been targets for thieves who steal crude oil and try to refine it locally. This has led to more spills and damage though explosions.

"Both Bille and Ogale [affected areas pertaining to the claim] are heavily impacted by crude oil theft, pipeline sabotage and illegal refining which remain the main sources of pollution across the Niger Delta.

"Ogale is in Ogoniland and it is important to note that Shell Petroleum Development Company of Nigeria has produced no oil or gas in Ogoniland since 1993. Access to the area has been limited following a rise in violence, threats to staff and attacks on facilities," Shell said.

But the communities said Shell pipelines lack the technology to detect and shut off leaks, whatever the cause.

In January last year, Shell agreed to an $84m (£55m) settlement with residents of the Bodo community in the Niger Delta for two oil spills, a case also handled by Leigh Day.