… Move Will Unlock 12,000 Barrels Per Day Production
Keen on optimising production from the nation’s hydrocarbon assets to boost revenues and meet the nation’s OPEC production quota, the Nigerian National Petroleum Company Limited (NNPC Ltd) and its Joint Venture partner in the Awoba Unit Field, Newcross Exploration and Production Ltd, have restarted production from the Awoba field.
The field which last contributed production to the Bonny Terminal in 2021, was finally shut down in February 2022 due to evacuation issues and crude oil theft.
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Since the restart of the Awoba field by NNPC Ltd and it partners on April 13, 2024; production from the field has averaged 8,000 barrels per day and is expected to hit 12,000 per day at full ramp up within 30 days.
Awoba is also expected to significantly boost gas supply to the power sector and other gas-based industries.
The Awoba Unit which straddles OMLs 18 and 24 is located in the mangrove swamp south of Port Harcourt, Rivers State. Both OML 18 and OML 24 assets are under the management of the NNPC Upstream Investment Management Services (NUIMS).
The NNPC Ltd has been recording a string of production successes from the JV portfolio which have significantly lifted overall national production.
Besides the recent start of production at the Madu Field by the NNPC Ltd/First E&P JV, the company has achieved the restart of production at OMLs 29 and OML 18 in late 2023 which have steadily contributed an average of 60,000bpd to the nation’s production output since their restart.
Speaking on the development, the Group Chief Executive Officer, Mallam Mele Kyari, ascribed the achievement to the President Bola Ahmed Tinubu administration’s success in providing enabling operating environment for businesses to thrive.
He expressed appreciation to all stakeholders (staff, operators, host communities, government security agencies, and private security contractors) who played a pivotal role in achieving the feat.
The development is coming barely a week after the NNPCL and its Joint Venture partner in OML 85, First Exploration and Petroleum Development Company Limited (First E&P), commenced oil production from the asset, also known as Madu Field.
Production from the field which is located in shallow waters offshore Bayelsa State and operated by First E&P is expected to be at an average of 20,000 barrels per day.
The achievement is a testament to the commitment of the President Bola Tinubu administration to optimise production from the nation’s oil and gas assets through the provision of an enabling environment for existing and prospective investors.
The development comes amidst the improvement in crude production for Africa’s most populous economy. According to the Nigerian National Petroleum Company Ltd, crude oil production is around 1.45 million barrels per day.
The country is expected to meet its 1.7 million bpd production benchmark for the 2024 budget of N27.5tn as crude oil theft and vandalism are being tamed by the NNPCL and its security partners
It would be recalled that the Final Investment Decision (FID) on the development of the Madu Field and a sister field, Anyala, was taken by the NNPC Ltd./First E&P JV in 2018.
Production from the Madu Field will be processed at the JV’s Abigail-Joseph Floating Production Storage and Offloading (FPSO) Unit, which has a crude oil storage capacity of up to 800,000 bbls.
OML 85 has four fields namely Madu, Songhai, Ato-North and Ato-South. Significant oil, gas and condensate resources have been confirmed across multiple-stacked reservoirs in the Madu field.
ENDS