Notwithstanding repeated claims by the federal government of its intent to diversify the economy, the group managing director of the Nigeria National Petroleum Corporation (NNPC) Dr Ibe Kachikwu has said the NNPC will drill for oil in the Chad Basin in the last quarter of 2016.
According to The Nation the NNPC boss stated that the federal government remains committed to plans to explore for oil and gas in the inland basins, especially Chad Basin and the Benue Trough.
In a statement signed by NNPC’s group general manager, group public affairs division, Mallam Garba Deen Muhammad, the NNPC GMD is quoted to have said that the NNPC, through its Frontier Exploration Services and Renewable Energy Division (FESRED) had progressed reasonably with seismic acquisition activities in the Chad Basin frontier area until insurgency necessitated the suspension of operation.
Kachikwu said eight phases, out of the planned 12-phase project, to cover 3,550 sq.km, had been acquired by the date of suspension of operation on November 24, 2014.
“A total of 1, 962 sq. km was acquired and processed, interpretation is on at 90 per cent completion, and drilling activities will commence by the last quarter of 2016,” he said.
He explained that seismic activities were carried out with regard to environmental protection and in accordance with international standards and best practices and handled by Integrated Data Services Limited (NNPC subsidiary) and BGP, a subsidiary of China National Petroleum Corporation.
According to him, exploration in the Chad basin would increase the nation’s oil and gas reserves and add value to the hydrocarbon potential of the Nigerian inland basin, provide investment, boost the economy as well as create jobs.
“The decision to diversify our business portfolio is about all of us and about the future of our country, the vision is clear, and we are determined not to fail,’’ Kachikwu said.
He invited the private sector and venture capitalists across the globe to partner NNPC in planned Special Purpose Vehicles (SPVs) to profitably harness the enormous energy resources in Nigeria.
The heavy investment in oil exploration in yet uncertain terrains may however come to many as a surprise seeing that the federal government has repeatedly said it plans to diversify Nigeria’s economy from oil and rather focus on agriculture, mining and manufacturing.
ENJOY FREE CONTENTS FROM US
IN YOUR EMAIL
Breaking News, Events, Music & More
Thank you for subscribing.
Something went wrong.