In addition to its development wells offshore Nigeria, United States-based CAMAC Energy Inc. says it has identified 10 exploration prospects and 12 leads in the country, and has currently high-graded three prospects containing unrisked prospective resources in excess of 200 million barrels of oil each.
The company, which explores for oil and gas mostly in Nigeria, said current efforts are focused on determining the first exploration well location to be drilled in 2015, according to an update on the company’s operations published on Tuesday on its website.
Nigeria, Africa’s top oil producer, has the largest conventional reserves in Africa and in the top 10 globally for oil reserves, with significant heavy oil yet to be tapped in the Benin basin, which is one of the world’s largest heavy oil belts in the world after Canada and Venezuela.
CAMAC Energy had in February closed the acquisition of the remaining economic interests that it did not already own in the production sharing contract covering Oil Mining Leases (OML) 120 and 121 offshore Nigeria, which include the currently producing Oyo field, from Allied Energy.
The Northern Offshore Energy Searcher drillship is currently located offshore Cameroon, where it is awaiting final clearance by the Department of Petroleum Resources (DPR) to enter Nigeria and commence drilling operations at the Oyo Field, CAMAC Energy said.
It further said that the DPR had completed its inspection, and was expected to issue final clearance imminently, adding that “the drilling rig is anticipated to arrive at the Oyo Field by the end of April.”
Segun Omidele, senior vice president of exploration and production, said: “CAMAC Energy’s continued focus is to improve our current production and cash flow, while making solid progress identifying and developing our world-class, high-impact exploration prospects and leads. We are confident about our current operational status, and look forward to ramping up net daily production from 2,000 barrels of oil today to 14,000 barrels of oil by year-end.”
In order to optimise drilling, completion, and production activities, current plans are to spud Oyo-8 mid-May, with well-hookup and first production expected in October, according to the company.
It said the drilling rig will then move to complete and hook-up Oyo-7, with first production expected in November. “Both wells continue to be on track to commence production this year, enabling CAMAC Energy to exit 2014 at an estimated production rate of 14,000 barrels of oil per day.”
CAMAC Energy is an independent oil and gas exploration and production company focused on energy resources in Africa, with asset portfolio consisting of nine licences across four countries covering an area of 43,000 square kilometers, including existing production and other projects offshore Nigeria, as well as exploration licences with hydrocarbon potential offshore Ghana, onshore and offshore Kenya, and offshore Gambia.
Femi Asu
