Panalpina drops oil and gas logistics services in Nigeria
Last month I posted on Panalpina’s troubles with the U.S. Justice Department looking into possibly corrupt business practices in Nigeria. Today comes news that as a result of the Justice Department investigation, Panalpina will no longer offer oil and gas logistics services in Nigeria.
Panalpina says it has commissioned an internal investigation into corrupt payments in these countries.
“In view of the unclear and uncertain regulatory framework in Nigeria, the services under review will remain suspended at least until the ongoing investigations are completed in order to protect the interests of the company and its oil and gas customers.
“The suspension of these services and its potential impact on certain global agreements with oil and gas customers, is expected to have an effect on the group’s Ebitda; for the current fiscal year this is estimated to be between CHF20 to 30 million,” said the company in a statement.
Probably a good idea.
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