NPDC Announces Boost in Crude Oil Production - Ramps up Gas Supply by 65mmscfd
In keeping with its target to grow its production to 250,000 barrels per day by 2015, the Nigerian Petroleum Development Company (the Exploration and Production subsidiary of the Nigerian National Petroleum Company) has commenced aggressive drilling on some of its Oil Mining Leases leading to increased production.
The latest of NPDC’s production strides is the successful drilling of Okono 6 and 7 oil wells in its OML 119 which are currently yielding 12,000 barrels per day.
This was disclosed in a statement signed by Mr. Fidel Pepple, the Acting Group General Manager, Group Public Affairs Division of the NNPC.
Mr. Pepple quoted the Managing Director of NPDC, Mr. Victor Briggs, as explaining that Okono 6 and 7 wells are significant not just because they represent the company’s independent efforts at growing production but also because of the prolific nature of the wells which are producing at an average of 6,000 barrels per day as against the older wells which are producing at an average of 3,000 barrels per day.
“From 2010 till date our production rose from 65,000 to 130,000 barrels per day, a bulk of the increase consists of assets handed over to us upon divestment by some of our JV partners; but we realize that for us to meet the target of 250,000 barrels per day by 2015 we need to build on this by exploring further afield and drilling more wells. Okono 6 and 7 wells represent our success story in this direction,” Briggs was quoted to have said.
He said NPDC plans to drill more wells as from next year and would deploy two more rigs in addition to the two it currently has on site, adding that the target is to drill 40 wells in the next five years as part of its growth projection.
He said the company has also made tremendous progress in the area of gas supply in keeping with the directive of the Minister of Petroleum Resources, Mrs. Diezani Alison-Madueke, to step up gas production and supply to meet the national power generation aspiration.
“We have commenced gas production from our Oredo Gas Plant since November and we currently produce 65mmscf per day. By the end of the first quarter of next year when we shall complete the second phase of this project, we will have additional 100mmscf per day and 4,000 metric tons of Liquefied Petroleum Gas (LPG),” Mr. Briggs said.
He explained that the Oredo Gas Plant with gas feedstock from NPDC’s OML 111 was originally designed to supply gas to the Ihovbor Power Plant in Edo State and that since the power plant is not ready the gas is being supplied to the Nigerian Gas Company (NGC) for onward transmission into the national gas grid for power generation.
Briggs commended President Goodluck Jonathan and the Minister of Petroleum Resources for their courage in halting the trend of asset stripping that had hobbled NPDC over the years, adding that without their support in assigning acreages to the company the modest achievements recorded in crude oil and gas production would not have been possible.
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