Shell Petroleum Development Co. of Nigeria Ltd. (SPDC) has completed the assignments of 30% interests in two oil mining leases in the Niger Delta to separate buyers.
FHN26 Ltd., an affiliate of Afren PLC, London, acquires SPDC’s interest in OML 26, covering 480 sq km, for $98 million. Two fields on the license produce about 6,000 b/d of oil gross.
Neconde Energy Ltd., a majority Nigerian-owned consortium, acquires SPDC’s share of OML 42 for $390 million. The 814-sq-km area includes Batan, Egwa, Odidi, and Jones Creek oil fields and related facilities. Operations had been shut down by militant activity, but Batan field has resumed flow at about 15,000 b/d.
SPDC is operator of a joint venture of Nigerian National Petroleum Corp. (55%), Shell (30%), Total E&P Nigeria Ltd. (10%), and Nigerian Agip Oil Co. Ltd. (5%).
Shell said Total Nigeria and Nigerian Agip also have assigned their interests in the leases, giving buyers 45% interests.
Bob Tippee | Editor
Bob Tippee has been chief editor of Oil & Gas Journal since January 1999 and a member of the Journal staff since October 1977. Before joining the magazine, he worked as a reporter at the Tulsa World and served for four years as an officer in the US Air Force. A native of St. Louis, he holds a degree in journalism from the University of Tulsa.