*NCDMB tasks IOCs on new projects in
The Managing Director of Total E&P, Mr. Mike Sangster, has disclosed that the company’s $500 million Ikike project will see first oil before the end of this year.
Sangster revealed this during a visit to the Executive Secretary, Nigerian Content Development and Monitoring Board, NCDMB, Engr. Simbi Kesiye Wabote, at the Nigerian Content Tower, headquarters of the NCDMB in Yenagoa, Bayelsa State.
According to Sangster, the company had made significant progress with the development of the oil field and is confident the project would come on stream this year and contribute immensely to the development of Nigeria’s economy.
“It had been difficult developing the project, particularly with the pandemic, but we are making progress and we appreciate the support from the NCDMB,” he said.
The Ikike project was launched by the NNPC/Total Joint Venture to achieve several goals, including developing the Ikike reservoirs as tie-back to the existing Amenam Field.
Total is investing $500 million in the project, which is expected to produce 32,000 barrels of oil per day when operational.
The oil field is located in a water depth of 20m in the Oil Mining Lease, OML, 99, approximately 20km offshore Nigeria. The asset is owned by Total E&P Nigeria and the NNPC on 40 percent (operator) and 60 percent ratio.
Speaking at the occasion of the managing director’s visit, NCDMB’s Executive Secretary, Engr. Wabote, urged International Operating Oil and Gas Companies in Nigeria to forge ahead with sponsoring new projects and stop being deterred by the delayed passage of the Petroleum Industry Bill, PIB.
According to him, the new projects were needed to grow Local Content and create work opportunities for local fabrication and manufacturing yards, many of which have been idle since the conclusion of the Total’s Egina deep water project in 2018.
He charged International Operating Oil and Gas Companies in Nigeria to emulate Total Exploration and Production Company (Total E&P) regarding new projects.
He also charged Total E&P to lend its full support to the ongoing Nigeria Liquefied Natural Gas, NLNG, Train 7 project, adding that the project held great prospects for the local oil and gas industry and host communities.
The Executive Secretary remarked that the Egina Project remains “the benchmark of upstream project delivery considering its record-breaking performance in local content practice in the oil and gas industry”, stating that “the project served as a veritable tool to raise the bar in the development of our in-country capacities and capabilities.”
He added that “the Board is also happy with Total E&P on the implementation of the ‘Adopt a Faculty and the various actions it had taken on the programme.
He commended the managing director for his emergence as the chairman of the Oil Producers Trade Section, OPTS – the umbrella body of major oil producers at the Lagos Chamber of Commerce and Industry, adding that his appointment was deserving because Total E&P was the only international operating company that had taken Final Investment Decisions and sanctioned major oil and gas projects in recent times in Nigeria despite the delayed PIB.
Wabote also solicited the support of the chairman of the Oil Producers Trade Section towards the conclusion of the categorisation of in-country oil and gas capacities and capabilities, covering engineering, fabrication yards, testing facilities and training facilities.
Another area of collaboration with OPTS is in the study for local gaskets manufacturing: study, to determine what it will take to produce all the gasket requirements in-country, he said.
He also asked OPTS companies to provide feedstock for newly-established modular refineries to increase value addition, local refining, demotivate illegal refiners and stealing of crude.
SOURCE: sweetcrudereports.com