Thursday, October 21, 2021
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Neconde Energy Limited and the National Petroleum Development Company (NPDC), its joint venture partner in Oil Mining Lease (OML) 42, have started production and delivery of gas to the domestic market through the Nigeria Gas Marketing Company.

This is in fulfillment of the commitment made by the Group Managing Director, Nestoil Group and chairman of Neconde, Dr. Ernest Azudialu-Obiejesi, during the last Nigeria Gas Association conference.

Azudialu-Obiejesi had promised that the NPDC/Neconde JV would deliver about 40 million standard cubic feet (MMScf) per day to the domestic gas supply network. This is now being fulfilled with the successful startup and operation of Main Compressor Module 1 (MCM1) of the Odidi gas processing facility.

A statement by Neconde quoted him to have said the development was a milestone for indigenous companies operating in the oil and gas sector. He recalled that OML 42 from which gas is now being produced was acquired in 2011 but was fraught with a lot of challenges at the time it was sold by the international oil companies (IOCs).

Azudialu-Obieesi said: “The fact that a wholly indigenous joint venture (JV) has progressively revived this asset speaks to the capacity of indigenous companies in the oil and gas sector if given the right opportunities.”

OML 42 is located onshore West Delta, covering an estimated area of 814 square kilometres. It has seven fields which have produced hydrocarbons and five undeveloped discoveries. The existing assets, infrastructure and support facilities in OML 42 include flow stations at Jones Creek, Egwa, Odidi and Batan. Neconde, a subsidiary of the Nestoil Group, is a Nigerian company with offices in Lagos, Warri, Port Harcourt and Abuja.



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