Roundup: Oil giant Shell faces London court over Nigeria pollution claim

A legal case on behalf of more than 40,000 Nigerians against the global oil giant Royal Dutch Shell has started in the High Court in London.

Lawyers for the Nigerian claimants want the High Court to rule that a compensation hearing can he conducted in London. Royal Dutch Shell maintains the case should be heard in Nigerian courts.

The hearing before Justice Fraser, expected to finish Thursday, is hearing legal arguments on whether the English Courts can hear two legal claims on behalf of over 40,000 Nigerians against Royal Dutch Shell (RDS) and its Nigerian subsidiary, Shell Petroleum Development Company of Nigeria Ltd (SPDC), for extensive environmental damage caused by oil pollution to two separate communities in the Niger Delta.

One claim is being brought on behalf of 2,335 individuals from the Bille Kingdom of Nigeria who are mostly fishermen and claimed their environment has been devastated by oil spills over the past five years.

The second claim is brought on behalf of the Ogale Community in Ogoniland which consists of roughly 40,000 people. The community claimed it has been subject to repeated oil spills from Shell's pipelines over a number of years which have still not been cleaned up.

Pollution affecting the Ogale community was carefully documented by the United Nations Environment Programme in a report published in 2011.

In March 2016, the Technology and Construction Court agreed that the two legal cases could proceed to the next stage through the London High Court, where the parent company, Royal Dutch Shell plc, is based.

Lawyers for the Nigerians communities argued that Royal Dutch Shell, which has its headquarters in Britain, controls and directs its' Nigerian subsidiary and should ensure that its operations do not systematically pollute the environment.

Both Royal Dutch Shell and Shell Nigeria argued that the cases should be heard in Nigeria and not in the English Courts.

The two separate legal actions are being brought by London-based law firm Leigh Day who represented the Bodo Community against Shell in an unprecedented environmental claim, resulting in Shell agreeing to pay compensation package of 55 million pounds (68.2 million U.S. dollars) to the community and 15,600 Nigerian fishermen whose livelihoods had been destroyed by Shell's oil pollution.

Leigh Day lawyers said hundreds of Niger Delta communities remain blighted by oil pollution.

According to the legal action, creeks, mangroves and island communities in Bille have been devastated by oil since the replacement of the Bille Section of a pipeline in 2010.

It is alleged that 13,200 hectares of mangrove have been damaged by oil spilled from the Bille Pipelines and Infrastructure, the largest loss of mangrove habitat in the history of oil spills.

The key issue in the claim will be whether Shell can be liable for failing to protect their pipelines from damage caused by third parties.

Shell has always maintained that allegations concerning Nigerian plaintiffs in dispute with a Nigerian company, over issues which took place in Nigeria, should be heard in Nigeria.

It has argued that Royal Dutch Shell, as an Anglo-Dutch-domiciled holding company, should not be held liable for all the activities of more than 1,000 subsidiary companies worldwide.

Media in London described the hearing as a test case that could open the floodgates to more multinationals being sued in London courts. Endit