Friday, February 3, 2012

RESOURCES AND INDIGINITY

Oil has been an important part of the Nigerian economy since vast reserves of petroleum were discovered in Nigeria in the 1950s. For example, revenues from oil have increased from 219 million Naira in 1970 to 10.6 billion Naira in 1979. Currently, Nigeria earns over 95 percent of its foreign exchange from the sale of oil on the global market. Foreign oil companies have dominated oil exploration, drilling, and shipping in Nigeria. For example, Shell Oil controls approximately 60 percent of the domestic oil market in Nigeria. Shell operates many of its oil facilities in the oil-rich Delta region of Nigeria. The Ogonis, an ethnic group that predominate in the Delta region, have protested that Shell's oil production has not only devastated the local environment, but has destroyed the economic viability of the region for local farmers and producers. The Nigerian Federal Government, on the other hand, has been charged with failing to enact and enforce environmental protection against oil damage by Shell and other oil companies. Furthermore, many Ogonis have been harassed and even killed by the Federal government for organizing protests and threatening sabotage of oil facilities.

Oil has been an important part of the Nigerian economy since vast reserves of petroleum were discovered in Nigeria in the 1950s. For example, revenues from oil have increased from 219 million Naira in 1970 to 10.6 billion Naira in 1979. Currently, Nigeria earns over 95 percent of its foreign exchange from the sale of oil on the global market. Foreign oil companies have dominated oil exploration, drilling, and shipping in Nigeria. For example, Shell Oil controls approximately 60 percent of the domestic oil market in Nigeria. Shell operates many of its oil facilities in the oil-rich Delta region of Nigeria. The Ogonis, an ethnic group that predominate in the Delta region, have protested that Shell's oil production has not only devastated the local environment, but has destroyed the economic viability of the region for local farmers and producers. The Nigerian Federal Government, on the other hand, has been charged with failing to enact and enforce environmental protection against oil damage by Shell and other oil companies. Furthermore, many Ogonis have been harassed and even killed by the Federal government for organizing protests and threatening sabotage of oil facilities.

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