American Oil giant, Shell has decided to settle its case with Nigerian individuals and a community affected by its oil spill in order to avoid the London High Court case which was due to start soon.
The money, £55million in total, will be distributed to the 15,600 Ogoni farmers and fishermen whose lives were devastated by two large Shell oil spills in 2008 and 2009. The locals will no doubt celebrate today as Shell Nigeria announces a £55m settlement.
British banks will start to transfer 600,000 naira into each of the local people’s accounts and the community will be given millions to build health clinics and refurbish its schools.
The settlement, split £35m for individuals and £20m for the community is said to be the largest payout to any African community following environmental damage and the first time that compensation for an oil spill has been paid directly to affected individuals rather than to local leaders.