Finance

OML 130: NNPCL Renews 5 Agreements With Partners, Unlocks $2.1bn Final Investment Decision

The Nigerian National Petroleum Company Limited (NNPCL) has announced the renewal of a series of agreements concerning Oil Mining Lease (OML) 130.

The national oil company yesterday announced the renewal of the OML 130 Production Sharing Contract (PSC) and conversion of the acreage to a Petroleum Mining Lease (PML) in accordance with the provisions of the Petroleum Industry Act (PIA) 2021.

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In a ceremony held at its headquarters in Abuja and presided over by the permanent secretary, Ministry of Petroleum Resources, Ambassador Gabriel Tanimu Aduda, five agreements were executed.

According to the NNPCL, the agreements included a Production Sharing Contract (PSC) between NNPC Ltd and its Contractors, China National Offshore Oil Corporation (CNOOC) & South Atlantic Petroleum (SAPETRO) with Total Upstream Nigeria (TUPNI) as the operator; a Heads of Agreement (HoA) Amendment between NNPC Ltd, TUPNI, SAPETRO, PRIME 130, & CNOOC;  a Settlement Repayment Agreement (SRA) Addendum between NNPC and its Contractors (CNOOC & SAPETRO); Concession Contracts for one Petroleum Prospecting Licence (PPL) and three Petroleum Mining Leases (PML) as well as a Lease & License Instruments between NNPC, TUPNI, SAPETRO, PRIME 130 and Nigerian Upstream Petroleum Regulatory Commission (NUPRC).

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This milestone paves the way to firm up Final Investment Decision (FID) on the Preowei amounting to ~USD$ 2.1 billion, subsequently to be followed by Egina South projects lined up by TUPNI and the OML 130 partners to introduce additional volumes to the best-in-class Egina Floating, Production, Storage and Offloading (FPSO) Vessel.

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