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Monday, August 18, 2014
Nigeria LNG Ltd. (NLNG), owner of the six trains at the Bonny LNG plant are resuming the legal battle against Nigerian security agencies in a bid to be exempted from paying freight levies on the gas cargos its ships. The decision to resume the case follows a ruling by Nigeria’s court of appeals which upheld its request to sue a private security company, Global West Vessel Specialist Ltd.
The security firm was hired by Nigeria’s state maritime security agency NIMASA to carry out blockades of shipment of LNG cargoes in between May and June 2013, NLNG said in a statement.
Gas exports by NLNG were halted for three weeks after NIMASA blocked ships from entering and leaving the Bonny LNG plant’s loading bay. NIMASA was demanding that NLNG pay $140 million to cover freight levy arrears.
NLNG said then that Nigerian law exempts the company from paying freight levies, and took NIMASA and West Global to court challenging the imposition of the levies and the resulting blockade.
NLNG said in 2013 that it lost more than Naira 76 billion or $475 million in revenue because of the blockade.
NLNG is owned jointly by state oil firm NNPC, Shell, Total, and ENI.
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