Anyala and Madu oil fields offshore Nigeria have moved toward development with an agreement for financial and technical assistance from Schlumberger Ltd.
A joint venture of Nigerian National Petroleum Corp. and First Exploration & Petroleum Development Co. Ltd. signed an agreement with Schlumberger envisioning combined production of 50,000 b/d of oil and 120 MMscfd of natural gas starting in 2019.
The fields are in 35-55 m of water 40 km offshore in the Niger Delta. Anyala is on oil mining license 83, and Madu is on OML 85.
Schlumberger said a final investment decision is expected in December. Development will use an existing floating production, storage, and offloading vessel.
Schlumberger will contribute services in kind and an estimated $700 million for development until production starts.
The agreement is based on a guaranteed project return and includes a payment-assurance bank facility.
First E&P operates both licenses with 40% interests. NNPC holds the remaining interests.
The fields together have estimated oil initially in place of more than 450 million stb and gas initially in place exceeding 800 bcf.
First E&P acquired its interests in OML 83 and OML 85 from Chevron Corp. in 2015.