By Modupe Gbadeyanka
The Ministry of Petroleum Resources, in its scorecard for 2016 and outlook for 2017, has said that the Federal Government has approved the renewal of licenses for 17 marginal oil fields that expired in 2015.
It also stated that it has, through the Department for Petroleum Resources (DPR), approved seven new field development plans, aimed at growing the country’s oil and gas output.
Though the details of the affected marginal fields which licenses were renewed were not given, the DPR, in the document, said the approval for the extension was secured from the Federal Government in 2016.
In addition, the DPR stated that the seven new field development plans have the potential to increase the country’s oil and gas production capacity by 155,600 barrels of oil per day when fully commissioned. It also noted that it commissioned the Eremor marginal field to First Oil, thereby, increasing the total number of producing marginal oil fields to 12.
In its outlook for 2017, the DPR said it will “conduct bidding rounds for open blocks and conclude the previous aborted marginal fields bid round respectively to enhance entry of new players, stimulate competition and generate revenue for the government and accelerate regulatory approvals for lease renewals, assignments and relinquishments.”
Adedapo Adesanya