New Democrat (Monrovia)

Liberia: Nocal Hails Appraisal in Oil Sector

The National Oil Company of Liberia (NOCAL) welcomes the latest progress in the drilling program of African Petroleum (AP) which announced that it has started taping into oil deposits situated off the coast of Liberia.

NOCAL reemphasizes that AP is in the process of appraising their discovery, which they announced in February (2012). Only further drilling will determine if there are commercial quantities of oil

and that the announcement by AP was intended to inform the public, as required by all public companies, about the potential prospects of its ongoing appraisal program.

Oil and gas exploration phases include exploration drilling, appraisal, development, production and decommissioning. The process from exploration to exploitation on average, takes at least 5-7 years.

The ongoing appraisal drilling by AP is aimed at evaluating the size and nature of their reservoir to determine the number of confirming or appraisal wells required, and not for production as is being reported. This appraisal drilling program will determine whether potential discovery in Block LB-09 is commercially viable (as determined by the terms of the agreement), which could eventually ensure a progression to the development phase.

NOCAL reiterates that even if the ongoing appraisal programs determine the commercial viability discoveries, commercial production of oil in our off shore basin may yet be a decade away.

Ads by Google

Copyright © 2013 New Democrat. 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 publishes around 2,000 reports a day from more than 130 news organizations and over 200 other institutions and individuals, representing a diversity of positions on every topic. We publish news and views ranging from vigorous opponents of governments to government publications and spokespersons. Publishers named above each report are responsible for their own content, which AllAfrica does not have the legal right to edit or correct.

Articles and commentaries that identify allAfrica.com as the publisher are produced or commissioned by AllAfrica. To address comments or complaints, please Contact us.