Trans Niger pipeline resumes oil flow after blast: Renaissance

Full crude supply through Nigeria's 150,000 b/d Trans Niger Pipeline has resumed, two days after a blast and fire, the Renaissance consortium confirmed to Platts on March 19.

The incident hit a section of the pipeline on March 17, with the fire raging until early March 18. The Police Command said on March 18 that the pipeline had been shut amid an investigation.

"I can confirm that crude supply through the TNP resumed by noon on Wednesday," a Renaissance spokesperson told Platts, part of S&P Global Commodity Insights.

"It was a section of the pipeline that was affected by the fire. What our engineers did from [March 18] was to test the integrity of the other section of the pipeline. Once it was passed fit, we resumed supply of crude."

"So, we did not completely shut down our operations," the spokesperson said.

The Trans Niger pipeline is crucial in a network of pipes that transport crude to the Bonny oil terminal.

The consortium said a joint team led by the industry regulator, the Nigerian Upstream Petroleum Regulatory Commission, was investigating the cause of the incident. Renaissance is composed of a group of mostly Nigerian companies, which bought Shell's onshore and shallow water oil business this year.

The blast comes amid rising tensions and even clashes in southern Rivers state between loyalists of Governor Similaye Fubara and federal Cabinet minister Nyesom Wike, with threats of violence in the event that Fubara be impeached.

Nigeria's president, Bola Tinubu, declared a state of emergency in Rivers State and suspended Governor Fubara and his deputy for six months in an address to the nation on March 18. The president said the move was to address the violence in the state.

State television on March 19 aired footage of Nigerian troops securing strategic locations in the oil-rich state.

The Trans Niger Pipeline has frequently been targeted for oil theft and sabotage, with thieves regularly drilling into its facilities to siphon crude illegally.

In October, Seplat Energy reduced its oil production target for 2024, citing the unavailability of the Trans Niger Pipeline, which halted crude lifting from Seplat's Oil Mining Lease 53. Seplat said on March 2 that the pipeline had resumed full operations in the fourth quarter of 2024.

Nigeria continues to struggle with oil theft and sabotage in the Niger Delta, significantly impacting its goal of producing over 2 million b/d. In recent months, several international oil companies, including ExxonMobil, Shell and Eni, have sold onshore and shallow water assets to local firms.

According to government estimates, Nigeria's crude oil production, excluding condensates, averaged 1.465 million b/d in February.