Export of crude oil started yesterday from Nigeria’s Otakikpo onshore terminal, an expandable $1.3 billion facility that is projected to mark a decentralised oil and gas export facility in the country.

The facility, developed by Green Energy International Limited (GEIL) and expected to return operators to over 40 stranded oil fields, comes as the country’s first indigenous onshore crude export terminal in over 50 years after Nigeria started oil production.

The maiden export was carried out recently by Shell’s off-taker vessel MV.

The development, the company said in a statement, signals the successful completion and operational readiness of the terminal.

Nigeria is currently struggling with oil production primarily because of weak infrastructure that hampers the evacuation of crude or makes it unprofitable, as the cost of oil production in Nigeria hovers around $48 per barrel in some fields.

The facility, visited by The Guardian along with other stakeholders, provides a viable alternative that could reduce costs and enable the country to meet production targets.

Chairman of GEIL, Prof. Anthony Adegbulugbe, expressing gratitude to God, the company’s all-indigenous workforce, and regulatory bodies for their roles in realising the project, said the achievement is a result of resilience and commitment.

Built with an initial investment exceeding $400 million, and a total projected cost of $1.3 billion, the Otakikpo terminal was completed in less than two years—ahead of schedule. It features an initial storage capacity of 750,000 barrels, with plans to expand to three million barrels.