MEND (Movement for the Emancipation of the Niger Delta) appears to have struck again. Yesterday gunmen attacked a Chevron pipeline in the Niger Delta causing an unknown amount of damage. At first glance this appears to be another nuisance attack which will have little impact on the oil market. Pipelines are easy to attack but also easy to repair. Attacks on them can be used to reduce output if one has the capability to attack multiple times. So far, the weakended remnant of MEND has not demonstrated this capability. Based on press articles, it appears that the pipeline in question transports 10-20,000 B/D of crude at most and thus this attack should have little impact on the oil market even if repairs take some time. In it's current form, MEND has yet to prove to be a factor in the oil market.
I've attached a link to an AP article with more detail:
http://news.ino.com/headlines/?newsid=6896846726981
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