Export facility losses from July 2013 to June 2014 average 22.35%
Midwestern Oil and Gas’ operated production averaged 7,439BOPD in the month of July 2014. The company’s sole asset is the Umusadege field, located onshore western Niger Delta.
Nigeria’s largest indigenous marginal field producer suffered aggregate downtime of 11.7 days due to shutdowns of the export pipeline operated by the local ENI subsidiary, the Nigerian Agip Oil Company Limited (NAOC), resulting from operational interruptions due to general pipeline repairs and maintenance.
“There were five full down days during the month”, says Canadian junior Mart Resources, which is Midwestern’s financing and technical partner. “The average field production based on producing days was 11,958 BOPD in July 2014”, Mart Resources explains. “Total net crude oil deliveries into the NAOC export pipeline from the Umusadege field for July 2014 were approximately 210,566 barrels before pipeline losses. Based upon the 12-month rolling average rate of pipeline and export facility losses from July 2013 to June 2014 of 22.35%, Mart estimates pipeline and export facility losses for July 2014 will be approximately 47,052 barrels. “Using this estimated pipeline and export facility loss volume, Mart estimates that the total netcrude deliveries into the NAOC export pipeline from the Umusadege field for July 2014 less estimated pipeline losses will be 163,514 barrels.