Photo: Wikimedia Commons
According to a report from Bloomberg’s Alaric Nightingale, pirate attacks on merchant ships have dropped to the lowest rate since 2008. There were 177 incidents worldwide in the first six months compared with 266 in the same period of 2011, the London-based International Maritime Bureau said in a report today. Somali pirate attacks fell to 69 from 163, the largest contribution to the wider decline.
Nigeria’s oil industry has long been a direct target of pirates. Royal Dutch has estimated that approximately 100,000 barrels a day of Nigeria’s oil production is stolen. Last year, piracy cost the global shipping trade more than $9 billion.
If Pirates capture key oil supplies, the price of oil could rise. The fact that the rate has dropped is a big positive for the industry as the risk of piracy will be reduced and money spent on piracy incidents will likely decrease this year from the aforementioned $9 billion from last year.
NOW WATCH: Money & Markets videos
Business Insider Emails & Alerts
Site highlights each day to your inbox.