Indigenous firms take more production space

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By Sopuruchi Onwuka

Over 100 oil fields and some 30 marginal fields under the control of indigenous exploration and production companies are beginning to account for increasing volume of hydrocarbon liquids and natural gas produced in the country.

Information gathered from various sources showed that indigenous independent companies operating various production agreements with government will soon be responsible for over 30 percent or 600, 000 barrels per day of the country’s current 2.3 million barrels per day.

Already, companies like Amni International Petroleum, Consolidated Oil, Oranto, Erin, Seplat, Elcrest, Energia, Oando, Niger Delta Petroleum Resources, Niger Delta Western, Britannia-U among others are collectively pushing up the share of indigenous companies in the collective national output.

Whereas the big multinational major oil companies including Shell, ExxonMobil, Total, Chevron and Addax control the big flow from greenfield offshore fields, indigenous independents that pump from brownfield onshore assets are also ramping up production.

Figures availed from secondary sources showed that total production from both operated and non operated assets attributable to indigenous companies could exceed 500,000 barrels per day by next year.

Seplat, which operates assets in oil mining leases (OMLs) 3, 38, 41, 53 and 55, pumps crude at the range between 65,000 b/d and 75,000 b/d.

Shoreline which holds sway in OML 30 pumps at 70,000b/d while Elcrest with joint operating interest in OML 40 is associated with 18,500 b/d. Also Niger Delta Western has pushed production to 20,000 b/d while Oando’s operated and non operated production is estimated at over 80,000 b/d.

Full production chart by company was not available at the time of the report but regulatory sources estimate that indigenous companies including the Nigerian Petroleum Development Company (NPDC) of the Nigerian National Petroleum Corporation (NNPC) will exceed 500,000 b/d by 2018.

“When you people throw these figures about indigenous companies, you quickly forget that NPDC is also an indigenous company; and if you put together all production volumes in the company’s portfolio you begin to see how significantly these Nigerian companies have contributed to nation output,” our source pointed out.

Nigerian companies would also be producing 1.5 Bcf/d of gas for the domestic market by 2018, he said.

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