This is coming following a
declaration by Governor Akinwunmi Ambode that Lagos had officially joined the
oil producing states in Nigeria.
This followed the discovery
of crude oil by Yinka Folawiyo Petroleum Company Limited (YFP). Daily Trust
reports that the independent E&P Company in partnership with YFP on the Aje
Field which made the announcement said the targeted stabilised production rates
have not yet been achieved yet due to mechanical issues and Nigerian regulatory
approvals.
“Until the outstanding
issues are resolved, which could take until the end of Q4 2016, production
shall be maintained at a restricted daily rate of approximately 7,000-8,000
barrels of oil.
“We expect the first crude
oil lifting from the Front Puffin FPSO to take place at the end of August,” it
said adding “In the meantime we continue to be encouraged by the performance of
the reservoir to date.”
The company said several
international oil companies have expressed interest in purchasing Aje oil.
“Laboratory assays have
been delivered on Aje crude oil which show it to be as expected a high quality
grade of approximately 42 degree API.”
John Hamilton, CEO of
Panoro said: “We are very pleased with the reservoir performance at Aje and are
planning the next steps to realize its full potential.”
Mr. Tunde Folawiyo who is
the group managing director had told Governor Ambode that the company committed
about $400m to achieve the feat.
He also said the oil well
has the capacity to produce at least 12,000 barrels per day, with a possibility
to increase to 25,000 to 50,000 barrels per day in the nearest future.
Meanwhile, the search for
oil in the north has received a boost following the revelation by the Niger
state government that large quantity of crude oil was in the Bida Basin ready
for exploration.
Jonathan Vatsa who is the
commissioner for information, culture and tourism in Niger revealed that the
immediate past state government, through a committee it set up, had confirmed
the availability of large quantity of crude oil in the Bida Basin.
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