Oyo Field Production Stabilises at Over 7,000 Barrels Per Day
Independent oil and gas exploration and production company, Erin Energy Corporation has commenced production from its new Oyo-8 well and says that production from the field located offshore on oil mining lease (OML) 120 has now stabilised at a rate of 7,080 barrels per day.
The company, which is the operator of the field, and formerly known as CAMAC Energy, has a 100 per cent interest in the well. Erin, which is listed on the New York and Johannesburg Stock Exchanges, expects to add to its Oyo field production from the Oyo-7 well, where it is currently engaged in drilling and completion operations and expects to achieve first oil production within a few weeks.
Additionally, the company has completed site survey three of its top prospect drilling locations after identifying four Miocene exploration prospects. The four prospects have a combined 2.4 billion barrels of recoverable P50 prospective resources.
Segun Omidele, Senior Vice-President of Exploration and Production said the company was looking forward to an exciting second half of 2015. He added excitedly, that the new production would “generate immediate revenues, cash flow and earnings for our shareholders.”
Houston based Erin Energy Corporation is focused on energy resources in sub-Saharan Africa and has 9 licenses across 4 countries including current production and other exploration projects offshore Nigeria, as well as exploration licenses offshore Ghana, Kenya and Gambia, and onshore Kenya. The company’s Nigerian venture has delivered great value. Estimated probable and proved recoverable reserves at Oyo field were initially estimated at 45 million barrels, and later revised to 50 million barrels.
In 2011, Netherland, Sewell & Associates produced a report which now estimates the field to have reserves of 1.9 billion barrels of crude with a high of 6.3 billion barrels of oil-in place. Recoverable and prospective oil resources are estimated 626 million barrels with a high of 2.2 billion barrels. Erin has been producing oil and natural gas from the Oyo field since December 2009.