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Nigeria wants Big Oil to cover amnesty

Nigeria's government has budgeted millions of dollars to an amnesty programme aimed at restoring peace in the Niger Delta, but has yet to receive any financial support from foreign oil companies, a senior minister said.

Nigeria has allocated an initial 402 million naira ($3.03 million) on President Umaru Yar'Adua's 60-day amnesty programme for gunmen in the Niger Delta.

But the government has said it will not be able to pay for the programme on its own because of dwindling federal revenue from falling oil prices and production.

"Right now, they (oil companies) have not been contributing," Ufot Ekaette, minister for the Niger Delta told Reuters.

"We want to talk to all the stakeholders because whatever happens will affect them and they should be making contributions towards restoring peace to the area," he said.

The oil sector has been the main target of Nigeria's most prominent militant group, the Movement for the Emancipation of the Niger Delta (Mend).

Anglo-Dutch supermajor Shell, US supermajor Chevron and Italian player Agip have cut output by around 273,000 barrels per day because of the latest militant violence.

A Shell spokesman said the government has yet to formally approach the company for financial support.

"We are not aware of any such request. The amnesty programme is a matter between the Nigerian federal government and the militants," the spokesman said.

Chevron and Agip declined immediate comment.

Some believe the programme could cost as much as 50 billion naira to disarm, educate and rehabilitate militants and criminals.

The government estimates as many as 20,000 gunmen could participate.

"We don't yet know how much the amnesty will cost," Ekaette said. "People talk about 50 billion naira but this is not the case yet."

Ekaette said despite the ongoing attacks he was still expecting the amnesty to be a success.

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