Financial Times FT.com

Energy Security

Security costs threaten oil contractors in Nigeria

By Dino Mahtani in Lagos

Published: September 15 2006 17:52 | Last updated: September 15 2006 23:12

Oil servicing companies in Nigeria’s violent delta region are having to shoulder rising security costs or consider walking away from essential engineering and drilling work with oil and gas multinationals.

Executives say the extra costs for companies that undertake exploration, drilling and engineering operations in the oil and gas industry could slow the completion of projects and affect oil and gas production targets.

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