ExxonMobil has briefed the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) on ambitious multi-billion dollar deepwater projects, spotlighting the $7-8 billion Owowo development and a potential $15-16 billion investment in the adjacent Bosi oil and gas field.
The oil major shared these plans during a visit to NUPRC headquarters in Abuja, marking 20 years of its Erha deepwater project.
ExxonMobil’s senior vice president for Deepwater, Hunter Farris, highlighted the company’s renewed commitment to Nigeria, citing an improved investment climate.
Farris detailed progress on Owowo, which holds about a billion barrels of developed resources.
“We’re progressing this $7-8bn project, looking into a Final Investment Decision (FID) as early as next year,” he said.
On Bosi, located next to Erha, he noted its potential to attract $15-16 billion in fresh capital through a new FPSO and pipelines if developed.
ExxonMobil plans to drill several wells at the Usan project as well.
Farris emphasised ExxonMobil’s seriousness about Nigeria’s deepwater rejuvenation, crediting regulatory improvements for easing business operations.
“We’re getting back in business,” he stated.
Specifically, he noted that the Production Sharing Contract on Erha had been extended to 2042 and the company was doing a lot of life extension works to get the Erha FPSO back to maximum performance.
Besides Erha, he said ExxonMobil was gearing up for potential new investments on Usan which entails “drilling a handful of wells” as well as the Owowo deepwater project.
On the Owowo project, he said, “There is about a billion barrels of developed resource, of between $7 billion and $8 billion dollar project, that we are progressing, looking into an FID as early as next year.”
Farris also spoke about the Bosi oil and gas field adjacent Erha which he said had the potential of attracting fresh capital of between $15 billion and $16 billion if the company was to develop a new FPSO and new pipelines.
The ExxonMobil executive said these proposed investments in Nigeria was evidence that the company is “getting back in business and we’re serious about what we’re doing”.
He noted that the company was keying into the golden age of deepwater or the or the rejuvenation of deepwater in Nigeria.
Farris also commended Nigeria’s improved regulatory environment which he said had tremendously improved the ease of doing business.
Responding, the chief executive, NUPRC, Oritsemeyiwa Eyesan, expressed excitement over the company’s fresh commitment to Nigeria.
“To hear that FIDs are likely next year is very exciting and rest assured we are willing to support you,” Eyesan stated.
She said the Commission will continue to encourage and safeguard petroleum investments especially those that are in the interest of the Nigerian people.
