Nigeria: Lekoil sets Ogo appraisal spud date

Lekoil, an oil company focused on Africa, has set a prospective spud date for appraisal drilling of the Ogo discovery in OPL 310, offshore Nigeria.

Lekoil said on Thursday in its half-year financial results that the drilling at the project was expected to start in first quarter of 2018, subject to agreement with potential financing partners.

The company, which has one producing asset – Otakikpo field in Nigeria – added that, in cooperation with partner Optimum Petroleum, it was still planning the options for the appraisal.

The appraisal wells will focus on prospects around the Ogo discovery, de-risked following the completion of seismic interpretation of multiple horizons.

“We continue our discussions with other potential partners for the financing of the OPL 310 appraisal program as we look to deliver the potential of this world-class field,” said Lekoil on Wednesday.

Lekan Akinyanmi, Lekoil CEO, added: “We have a high quality producing asset in Otakikpo where we are ramping up production and a very exciting discovery to appraise and develop in OPL 310.  We believe that we have the technical and commercial teams to be able to achieve both these objectives to generate significant value for our shareholders, partners, and communities.”

Lekoil has made several important steps towards the development of the discovery in 2017. Namely, the company signed a memorandum of understanding with General Electric in April for the development of the Ogo discovery.

Then in June, Lekoil received Ministerial Consent in June for the first portion of the company’s interest OPL 310. Nigeria’s  minister of petroleum granted consent to complete the transfer of the original 17.14 percent participating interest that Lekoil acquired in OPL 310 in February 2011.

The acquisition of Afren PLC’s then remaining 22.86 percent participating interest in OPL 310 agreed in 2015, remains conditional upon receiving Ministerial Consent, which the company expects to receive in “due course.”

Offshore Energy Today Staff