Kayode Ekundayo
4 January 2009
Oando Exploration and Production Limited (OEPL), the upstream arm of Oando Plc, Nigeria's leading integrated energy solutions provider, has announced the acquisition of 75 per cent interest in Exiles Resources' 40 per cent working interest in the Akepo Field through the signing of a Financial and Technical Services Agreement.
Under the terms of the agreement that were structured in two stages, Oando would re-imburse Exile's past expenses on the Akepo Field and finance the development of the project in return for taking 75 per cent of Exile's current economic interest in the project.
This would see Oando own 30 per cent equity stake in the entire project, subject to the approval of the relevant authorities and Sogenal Limited, the operator.
Tunde Ogunnaike, Chief Executive Officer, OEPL, said, "We are excited about this acquisition as it is in line with our plans to boost our portfolio with near term oil and gas assets.
"As the technical and management partners, we will be conducting immediately, additional technical studies to facilitate the drilling of more wells to fast track the development of this bloc".
Tony Henshaw, president and Chief Executive Officer of Exile Resources commented, "I am very pleased that Oando has joined Sogenal and Exile in the Akepo project.
"In the current uncertain financial climate, Oando's financial strength, capability and experience in the Nigerian sector will enable the project to move forward to First Oil Production in the earliest timeframe and Exile looks forward to working with Oando and Sogenal in the future on other projects in Nigeria."
The Akepo Field is located within OML 90 situated offshore in the South Eastern part of Nigeria. Originally, in a joint venture agreement between NNPC and Chevron, the marginal field was awarded to Sonegal during the 2003 Marginal Oil Fields Allocation Rounds in 2003 by the Department of Petroleum Resources.
OEPL is a subsidiary of Oando Plc, Nigeria's foremost integrated energy solutions provider. OEPL is currently the operator of two oil blocs - OPL 278 and OPL 236.
The company is also a Local Content Vehicle (LCV) partner with AGIP on OPL 282 and has a 45% non-operating participatory interest in a marginal field, Obodeti-Obodugwa (former OML 56).
These fields are in different stages of development and will significantly increase Nigeria's oil and gas reserves.
Be the first to Write a Comment!
Copyright © 2009 Daily Trust. All rights reserved. Distributed by AllAfrica Global Media (allAfrica.com). To contact the copyright holder directly for corrections — or for permission to republish or make other authorized use of this material, click here.
AllAfrica aggregates and indexes content from over 125 African news organizations, plus more than 200 other sources, who are responsible for their own reporting and views. Articles and commentaries that identify allAfrica.com as the publisher are produced or commissioned by AllAfrica.
