The Nigeria indigenous company, First Exploration and Petroleum Development Company Limited (First E&P) finalized the acquisition of three-dimensional (3D) seismic data on Oil Mining Leases (OMLs) 83 and 85; located in Anyala and Madu respectively off East Central Nigeria.
First E&P together with Schlumberger plans to jointly develop the two oil-mining leases, OML 83 and OML 85; but the Final Investment Decision (FID) is most likely going to be taken after June 2018, then they can proceed to development. A source from the Nigerian National Petroleum Corporation (NNPC) said that a major factor causing the delay is that both partners involved have experienced misalignment on several milestones.
Taking Final Investment Decision anytime after June 2018 means a full year after the NNPC, First E&P and Schlumberger signed a tripartite agreement for the development of OML 83 and OML 85.
Project Final Investment Decision for this partnership was expected to be finalized by December 2017, with first oil expected by 2019. But it is not feasible at this point.
The agreement states that Schlumberger will contribute the required services and capital for the project until first oil. The partnership will leverage technical expertise of Schlumberger and local content of the partners. The project when executed will add 50,000 barrels of oil per day and 120 Million standard cubic feet of gas per day to add to the nations daily outputs.
Photo Credit: Simien & Simien