Financial Energy Review
The Nigerian National Petroleum Company Limited (NNPC Ltd) and FIRST Exploration and Petroleum Development Company Limited (FIRST E&P) Joint Venture has announced the commencement of oil production from the Madu Field in Oil Mining Lease (OML) 85.
The OML 85 is in the shallow waters offshore Bayelsa State (Nigeria), with FIRST E&P as operator on behalf of the NNPC/FIRST E&P Joint Venture (“JV”).
Madu Oil Field has significant oil, gas, and condensate resources in multiple-stacked reservoirs. The Field, which lies approximately 23km northwest of the JV’s other producing asset – Anyala – is expected to produce an average of 20,000 barrels per day, ramping up joint production capacity for the Anyala and Madu fields to 60,000 barrels per day.
This achievement is testament to President Bola Tinubu’s success in rallying the industry to ramp up hydrocarbon production by creating an enabling environment for current industry players and prospective investors.
It would be recalled that the NNPC/FIRST E&P JV commenced the greenfield development of the Madu and Anyala Fields after taking Final Investment Decision (“FID”) on both fields in 2018.
The crude oil from 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 800,000bbls.
The Group Chief Executive Officer, NNPC, Mele Kyari while appreciating the support from stakeholders described the commencement of oil production at Madu Field as a significant milestone that will contribute to the larger goal of meeting the production required to drive revenue growth and boost the nation’s economy. Kyari explained that the addition of 20,000 barrels per day by an indigenous oil player signals the commitment of stakeholders to facilitating the nation’s economic development.
Also speaking, the Managing Director, FIRST E&P, Ademola Adeyemi-Bero, stated that the achievement underscores FIRST E&P’s commitment to delivering value to its stakeholders while contributing to the energy needs of the nation and beyond.
Emphasizing the significance of the development, Adeyemi-Bero stated: “Achieving production from the Madu Field is a milestone event and an integral part of our long-term strategy. With this, we have further demonstrated that FIRST E&P is committed to delivering sustained growth and impact in the dynamic energy landscape. We remain steadfast in our pursuit of operational excellence and look forward to contributing even more to the prosperity of the communities in which we operate and to the nation as a whole”.
