Annex I
SHELL'S
ECONOMIC CONTRIBUTION
Taxes and royalties paid: [2005-08]
— SPDC-run operations: $34 billion 2005-08
(Shell share 11.3 billion).— Shell Nigeria Exploration and
Production Company (Shell's deepwater offshore company) has contributed
$2billion over the same period.— Approximately 95% of revenues
(after costs) from SPDC onshore production are paid to the government
in tax and royalties.
Employment
— SPDC: 6,000 staff and direct contractor staff,
95% Nigerians.— 20,000 people employed by contractors working
for SPDC.
Nigerian content contracts
— We are building expertise of deep-water
technology in Nigeria. Only a few places around the world have
these skills. In 2007, SNEPCo awarded a $10 million contract to
Dorman Long—a Nigerian company—to maintain and modify
our offshore production facilities in the Bonga field.—
In 2007, SPDC community content department was created, building
capacity of Nigerian companies to win Shell business. It has trained
over 1,000 service providers in contracting processes, 300 people
in entrepreneurship, and 200 in skills (scaffolding, welding,
catering and diving). It is estimated to have created business
opportunities for community vendors worth over $100 million so
far.
— In 2008, Shell companies in Nigeria awarded
contracts worth $900million to Nigerian companies. This equates
to 90% of all contracts.
— In March 2009, SNEPCo signed a contract
with a Nigerian company for the Bonga Northwest deepwater offshore
project for modifications to the field's FPSO to receive the oil
from 12 new wells. This is the first time a wholly locally owned
company has been awarded this specialist work in Nigeria.
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