UPDATE 1-Nigerian Forcados oil output rising-source

(Adds quotes, Shell reaction, background)

LAGOS, Jan 8 (Reuters) - Oil output at Nigeria's Forcados crude oil stream is now around 100,000 barrels per day and is expected to reach 200,000 bpd by April, an industry source said on Tuesday.

The Forcados fields have a capacity of around 380,000 bpd, but were largely shut down by militant attacks in February 2006.

"A lot depends on funding. That is the big unknown because we don't have a budget yet," said a senior industry source, who wished not to be identified.

Royal Dutch Shell RDS.L, the operator of the field, has requested additional funding for the lost output. But the government has yet to approve it, the source said.

A company spokesman said eight of the 15 crude flow stations connected to the Forcados terminal were back online. But he declined to specify how much production has returned.

Militant attacks and sabotage have cut about a fifth of the West African country's installed output capacity of around 3 million bpd.

The nearby 115,000 bpd EA field was also shut down after the attack in February 2006.

No date has been set for the field's return, the industry source said, as there has been no funding from the government.

(Reporting by Thomas Ashby in Lagos and Randy Fabi in London; editing by James Jukwey)