Shell Petroleum Development Company of Nigeria Limited (SPDC), has completed the sale of its 30% interest in oil mining lease (OML) 18 and related facilities in the Niger Delta.
Eroton Exploration & Production Company Limited which acquired Shell’s interests in OML 18 was said to have paid $737 million for the oil field which is produces 14,000 barrels per day.
OML18 covers an area of 1,035 km2 and includes the Alakiri, Cawthorne Channel, Krakama, and Buguma Creek fields and related facilities. The divested infrastructure includes flow stations together with associated gas infrastructure plus oil and gas pipelines within the OML.
This divestment is part of the strategic review of SPDC’s onshore portfolio and is in line with Nigeria’s aim of developing its companies in the country’s upstream oil and gas business.
Total E&P Nigeria Limited and Nigerian Agip Oil Company Limited have also assigned their interests of 10% and 5% respectively in the lease, ultimately giving Eroton Consortium a 45% interest in OML18.