Nigeria: Lekoil to farm-down 62 percent interest in OPL 325

CONTINUED FROM PAGE 01 barrels of oil per day, bopd, the company said, adding that strategic decisions and steps towards increasing production had commenced.

At the Otakikpo marginal field, Phase 2 preparations for development has commenced with 3D seismic data acquisition and interpretation, while an updated Competent Person's Report, CPR, has nearly been completed.

Though it posted a loss of $7.8 million in the 2018 financial year, as against profit of $6.5 million in 2017, the company plans to ramp up production at the Otakipko field to between 15,000 and 20,000 bopd. Subject to agreement on funding with partners, plans are underway for a three to five well drilling programme with the aim of meeting the production target, the company said.

According to Olalekan Akinyanmi, Chief Executive Officer, Lekoil, “The priority for 2019 is to grow production volumes at Otakikpo through Phase 2 development (subject to funding) to reach gross volumes of 15,000 to 20,000 bopd. The first step has already occurred, with 3D seismic data acquisition and interpretation now completed".

“We also continue to advance towards the start of the appraisal drilling programme on Ogo in OPL 310. We will work with our joint venture partner, Optimum, to negotiate agreements that will allow us to make progress on the block, after securing all relevant regulatory extensions and approvals,” Akinyanmi said.

“The next year should, therefore, provide key catalysts for value appreciation for shareholders as we move forward in building a leading Africa-focused exploration and production business," he added.