Nigeria hands over oil-rich Bakassi to Cameroon

By Ani Akpan

CALABAR, Nigeria (Reuters) - Nigeria handed control of the oil-rich Bakassi peninsula to its neighbour Cameroon on Thursday despite fears the handover will provoke attacks by local armed groups opposed to the change.

The Nigerian government agreed to transfer Bakassi two years ago in line with a 2002 International Court of Justice (ICJ) order but violence, political disputes and legal skirmishes delayed the handover. About 50 people have been killed in border fighting in the last year alone.

Analysts said Cameroon will have to tackle the deteriorating security situation before it can begin to exploit the region's offshore oil reserves.

"We are saddled with the painful but important task of completing the implementation of the International Court of Justice's judgment by handing the Bakassi peninsula to Cameroon," said Nigerian Justice Minister Michael Aondoakaa at the formal signing ceremony.

Heightened security concerns in Bakassi forced organisers to cancel a flag-exchanging ceremony at the peninsula's main town Abana, and they moved it to a safer venue in Calabar city, some 190 km (120 miles) away.

Security sources say there are several unrelated armed groups in Bakassi, fighting for independence, money, housing and other causes.

SECURITY FIRST, OIL LATER

The two African countries have agreed to cooperate over oil exploration in the region, which could help boost Cameroon's declining production of around 90,000 barrels per day.