Wednesday, 5 December 2012
Eland to increase daily oil production by 50,000bpd
Besides, the company believed that the onshore areas of the Niger Delta no longer require the financial and technical expertise of the major international oil companies.
Already, the company has successfully raised N29.5 billion (£118 million) to buy a holding in OML 40 license, after being listed in the Alternative Investment Market (AIM). With this purchase, Eland hopes to increase its total gross production to 50,000 barrels a day as it seeks to acquire and develop under-exploited upstream assets in Nigeria.
Eland Oil and Gas Plc, established a joint venture company, Elcrest Exploration and Production Nigeria Limited, in which the company currently holds 45 per cent of the shares. The balance of the shares in Elcrest is held by a subsidiary of the Chrome Group of Companies, Starcrest Nigeria Energy Limited.
OML 40, located onshore Nigeria within the prolific Niger Delta, represents an asset with production and exploration potential and with independently certified gross recoverable 2P Reserves of 71.5 million barrels, 3P Reserves of 117 million barrels in the Opuama and Gbetiokun Fields and Mean Contingent Resources of a further 16.7 million barrels in the Abiala and Ugbo Fields. ELAND Oil & Gas Plc, a Scottish oil and gas exploration company operating in Nigeria, has concluded plans to increase Nigeria’s daily crude oil production by 50,000 barrels per day (bpd) from its new acquisition of OML 40 in the next five years.