Realpolitik, Capitalism, Wikileaks, and Nigeria

December 9, 2010

Jesus:

Cables from Nigeria show how Ann Pickard, then Shell’s vice-president for sub-Saharan Africa, sought to share intelligence with the US government on militant activity and business competition in the contested Niger Delta – and how, with some prescience, she seemed reluctant to open up because of a suspicion the US government was “leaky”.

But that did not prevent Pickard disclosing the company’s reach into the Nigerian government when she met US ambassador Robin Renee Sanders, as recorded in a confidential memo from the US embassy in Abuja on 20 October 2009.

At the meeting, Pickard related how the company had obtained a letter showing that the Nigerian government had invited bids for oil concessions from China. She said the minister of state for petroleum resources, Odein Ajumogobia, had denied the letter had been sent but Shell knew similar correspondence had taken place with China andRussia.

The ambassador reported: “She said the GON [government of Nigeria] had forgotten that Shell had seconded people to all the relevant ministries and that Shell consequently had access to everything that was being done in those ministries.”

Nigeria is Africa’s leading oil producer and the eighth biggest exporter in the world, accounting for 8% of US oil imports. Although a recent UN report largely exonerated the company, critics accuse Shell, the biggest operator in the delta, and other companies, of causing widespread pollution and environmental damage in the region. Militant groups engaged in hostage-taking and sabotage have proliferated.

The WikiLeaks disclosure was today seized on by campaigners as evidence of Shell’s vice-like grip on the country’s oil wealth. “Shell and the government of Nigeria are two sides of the same coin,” said Celestine AkpoBari, of Social Action Nigeria. “Shell is everywhere. They have an eye and an ear in every ministry of Nigeria. They have people on the payroll in every community, which is why they get away with everything. They are more powerful than the Nigerian government.”

The oil companies, to me, symbolize everything that is wrong with the world.  I’m not an idealist by any means.  And I don’t even blame them for being the John Wayne Gacy of corporate citizens.  We demand oil, and we live in a capitalist world.  This is the unfortunate reality and terrible collateral damage.  C’est la vie.

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3 Responses to Realpolitik, Capitalism, Wikileaks, and Nigeria

  1. World Spinner on December 9, 2010 at 4:18 pm

    Realpolitik, Capitalism, Wikileaks, and Nigeria | Develop Economies…

    Here at World Spinner we are debating the same thing……

  2. [...] Weinstein of Develop Economies writes of oil companies in general: The oil companies, to me, symbolize everything that is wrong with the world.  I’m not an [...]

  3. [...] Not even the oil companies have been able to find a way not to be nationalized (though Shell has come pretty close in Nigeria).  So, when there is a threat that they might not just lose their shirt, but their [...]

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