Neconde Energy Limited and its Joint Venture Partner – the National Petroleum Development Company (NPDC) in Oil Mining Lease (OML) 42 have commenced production and delivery of gas to the domestic market through the Nigeria Gas Marketing Company.
The move was in fulfilment of the commitment made by the Group Managing Director of Nestoil Group and Chairman of Neconde Energy Limited, Dr. Ernest Azudialu-Obiejesi, during the last Nigeria Gas Association Conference.
Azudialu-Obiejesi had promised that the NPDC/Neconde JV would deliver about 40MMScf per day to the domestic gas supply network.
This, a statement explained yesterday, was being fulfilled with the successful start-up and operation of Main Compressor Module 1 (MCM1) of the Odidi Gas Processing Facility.
He said the development was a milestone for indigenous companies operating in the oil and gas sector.
He explained that the OML 42, from which gas is now being produced was acquired in 2011 but was fraught with a lot of challenges at the time it was sold by the IOCs.
“The fact that a wholly indigenous Joint Venture (JV) has progressively revived this asset speaks to the capacity of indigenous companies in the Oil & Gas sector if given the right opportunities,” Azudialu-Obiejesi said.
OML 42 is located onshore West Delta covering an estimated area of 814 square kilometres. OML 42 has 7 fields which have produced hydrocarbons and 5 undeveloped discoveries. The existing assets, infrastructure and support facilities in OML 42 include flow stations at Jones Creek, Egwa, Odidi and Batan. Neconde, a subsidiary of the Nestoil Group is an indigenous Nigerian company with offices in Lagos, Warri, Port Harcourt and Abuja.
Neconde is an independent Nigeria oil and gas company serving as a special purpose vehicle for the acquisition and development of petroleum assets.