NPDC Poised to Grow Equity Production to 500,000 bpd by 2020

 NPDC Poised to Grow Equity Production to 500,000 bpd by 2020

…As Company Becomes 5th Largest Oil Producer in Nigeria

Nigerian Petroleum Development Company (NPDC), the flagship subsidiary of the Nigerian National Petroleum Corporation (NNPC) is poised to grow its equity production from the current 180,000 bpd to 300,000 bpd by 2018. Production is also projected to hit 400,000 bpd and 500,000 bpd by 2019 and 2020 respectively.

Managing Director NPDC, Mr. Yusuf Matashi, who disclosed this in Benin, said the planned increase in the company’s equity production was as a result of the ongoing transformation in NNPC.

Mr. Matashi said haven attained the position of fifth largest Exploration and Production Oil Producer in Nigeria, NPDC is poised to efficiently manage its portfolio of assets to achieve the new production targets.

“NPDC has 55 percent equity in eight blocks: Oil Mining Leases (OMLs) 4, 26, 30, 34, 38, 40, 41 and 42; Non-equity operations in four blocks of selected NNPC Joint Venture fields (OMLs 11, 20, 49 & 51); 60 percent participatory interest in four blocks (OMLs 60, 61, 62 and 63) and 100 percent ownership of six blocks (OMLs 13, 64, 65, 66, 111 and 119). In a nutshell, the Company is involved in 29 concessions which comprise of 22 Oil Mining Leases and 7 Oil Prospecting Leases,” Mr. Matashi submitted.

He recounted a number of major successes recorded by NPDC: NPDC successfully drilled and completed five horizontal wells in OML 26 within nine months, leading to an incremental production of 7,000 bpd.

The company had successfully turnaround OML 40 taking production from 0 bpd to 12,000 bpd.

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Mr. Matashi added that NPDC also carried out some intervention activities in OML 65 which led to peak production of approximately 10,000 bpd in June, 2017.

He noted that presently, NPDC is the largest supplier of gas to the domestic market.

“NPDC has aggressively pursued gas development since 2009 and this has raised the company’s profile as the highest supplier of gas to the domestic market with an average of 700 million standard cubic feet per day. The Utorogu Non-Associated Gas II plant was completed recently adding 150 mmscfd capacity; the Oredo to Pan-Ocean gas plant adds a capacity of 100 mmscfd. These projects represent a major achievement for the company and a significant step towards actualizing NPDC’s aspiration to become a major global player in the E & P industry,” Mr. Matashi averred.

NPDC as a responsible and responsive company continues to ensure that it positively impacts its Host Communities. It successfully executed a Global Memorandum of Understanding (GMoU) with Host Communities in OMLs 30 and 34. It has also awarded scholarship to over 6,000 indigent members of its Host Communities which traversed host states, renovated and built block of classrooms, provided classroom furniture and offered employment opportunities within its areas of operation as a means of empowering the communities.

Mr. Matashi applauded the Federal Government and NNPC Management for helping the company to take ownership of OML 13, disclosing that First Oil from the OML is expected by the fourth quarter of the year.

He stated that the greatest challenges of the company were the reoccurring infractions on its facilities and the incessant uprisings by some members of its Host Communities, adding that a holistic plan was being worked out to address these challenges.

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The Nigerian Petroleum Development Company (NPDC) is an upstream subsidiary of the Nigerian National Petroleum Corporation (NNPC) established in 1988 to engage in the business of Oil and Gas Exploration and Production.