Ogun Govt. Partners NNPC To Commence Exploration Of Oil, Gas

Ogun Govt. Partners NNPC To Commence Exploration Of Oil, Gas
Ogun Govt. Partners NNPC To Commence Exploration Of Oil, Gas

Ogun State, located in the South-West region of Nigeria, is on the cusp of becoming one of the country’s oil-producing regions as the Nigerian National Petroleum Corporation Limited (NNPCL) preps for imminent exploration activities. This development has the potential to significantly alter the state’s economic landscape and contribute to Nigeria’s overall energy sector.

The announcement followed a high-level meeting where the state’s governor, His Excellency Dapo Abiodun, welcomed a government delegation comprising the Minister of State for Petroleum Resources, Heineken Lokpobiri; Shell Petroleum Development Company Ltd’s Managing Director, Mr. Osagie Okubor; Nigeria Upstream Petroleum Regulatory Commission’s Chief Executive, Engr. Gbenga Komolafe, and NNPC’s Group Chief Executive Officer, Mr Mele Kyari.

During the engagement at the governor’s office, Minister Lokpobiri shed light on Ogun State’s strategic position within the Dahomey Basin, a region that shows the promise of significant hydrocarbon deposits. He reinforced the federal government’s commitment to resuming exploration in various basins across the country, including Ogun, with subsequent activities planned for Sokoto State.

“Ogun has always been part of the Dahomey Basin, and our presence underscores the seriousness the federal government attaches to the exploration activities that we want to carry out in Ogun State,” Lokpobiri expressed.

Governor Dapo Abiodun elaborated on the state’s positioning within Oil Prospecting Licenses (OPLs) 302, 303, 306, and 307. He pinpointed the opportunity these locales present for Ogun State to emerge as a Frontier Exploration State under the directives of the Petroleum Industry Act (PIA).

The governor accentuated the provenance of historical data and past studies which suggest that leveraging the frontier basin’s exploration funding could unlock substantial oil and gas reserves. Moreover, such explorative endeavors would yield valuable data, potentially accelerating Nigeria’s bitumen exploration and utilization ambitions.

READ MORE: Africa Needs Generous Entrepreneurs To Attain Greater Heights, Says NJ Ayuk

Governor Abiodun emphasized Ogun State’s advantageous features: optimal accessibility, cost-effective entry and operational expenses, community safety, and proactive state government support. These factors collectively create a compelling investment proposition in the spirit of PIA Section 9’s frontier exploration objectives.

Highlighting the peripheral benefits, he concluded, “As a low hanging fruit, this area also provides an avenue for bitumen extraction, thereby reducing import dependence and offering savings in foreign exchange expenditure on this single commodity.”

The move to initiate oil exploration in Ogun State signifies a noteworthy stride in Nigeria’s energy industry, promising to bolster the country’s energy production capabilities while offering Ogun State an impactful economic transformation.

LEAVE A REPLY

Please enter your comment!
Please enter your name here

one × four =