Firm secures approval for phase two development of Otakikpo oil field
The Federal Government through the Department of Petroleum Resources (DPR) has granted approval for the full Field Development Plan (FDP) and Environmental Impact Assessment (EIA) of Otakikpo marginal field.
With the approval of the field under Oil Mining Lease OML 11 and operated by Green Energy International Limited (GEIL), the company plans to increase production from 6000 barrels per day (bpd) to 20,000 bpd, Chairman of the company, Prof. Anthony Adegbulugbe stated.
Coming on the heels of its MOU for a finance package of over $350 million from international financiers, the company stated in a release that the approved FDP project consists of drilling of additional seven wells, expanding crude processing infrastructure, construction of a 1.3 million barrels onshore terminal and the construction of a 17Km export pipeline connecting the terminal to an offshore loading system.
The EIA approval also gave the company the nod for its environmentally compliant plans to develop the field with due regard to international best practices in the protection of the environment and the ecosystem.
Adegbulugbe commended DPR for the approval as it complements the efforts of the operator in attracting the necessary financing to unlock the potential of the field and boosts investors confidence in the project.
“This marks a major step forward for us and our partners, to fully develop Otakikpo field, we are happy to see our assets moving forward into the full development stage and generate significant cash flow.”
“We are aiming to be the benchmark for developing and maximising hydrocarbons in the country in a most environmentally compliant manner,” he said.
The Chairman said the field development plan envisages zero gas flares through the implementation of gas to power and LPG production among others under the small scale gas utilization programme(SSGUP) pioneered by the company.