Continental Focus, International Reach

NNPC Takes FID on OML 21 Gas Project

Monday, February 18, 2019

Nigerian state-run oil and gas firm NNPC has taken a step forward in its goal of attaining self-sufficiency in domestic gas supply. The firm took the FID on its 4.3 Tcf Assa North/Ohaji South Fields development located on OML 21.

The project is operated by NNPC and its JV partners, Shell Petroleum Development Company (SPDC), Total Exploration and Production Nigeria (TEPNG) and Nigeria Agip Oil Company (NAOC). SPDC announced the FID in early-January with its Managing Director and Country Chair, Shell Companies in Nigeria, Osagie Okunbor saying that the project would be a major game-changer in Nigeria’s quest for energy sufficiency and economic growth.

NNPC spokesperson, Ndu Ughamadu, said the project, when fully developed, would add about 600 Mmcf/d to the national gas grid.

The field can expand to about 1.2 Bcf/d, with another 197 million barrels of condensate realized.

Maikanti Baru, group MD of NNPC, described the project as a critical gas supply hub in Nigeria’s burgeoning gas-infrastructure network designed to provide the linkage between the Eastern, Western and Northern gas pipeline system.

The signing of the FID on the ANOH Project is coming more than 14 years since negotiations began.

According to reports, the JV partners have worked on all the issues and have developed a sustainable strategy to develop the considerable gas resources in Assa North-Ohaji South Fields.

Baru said NNPC would continue to leverage on available expertise and capital from its global outreach to accelerate and deliver on first gas from the project between Q4 2019 and Q1 2020.

 


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