By Toyin Akinosho
French oil supermajor TOTALEnergies has announced the commencement of production from the Akpo West Field.
By mid-2024, the company said, “Akpo West will add 14,000 barrels of condensate production per day”.
That volume is about 1% of the country’s crude oil and condensate output.
A big announcement about the commissioning of a such a low production is a sobering commentary on the struggle to bring out any reasonable amount of crude oil volume in Nigeria.
TOTAL added, for effect, that the field will follow up with 141Million standard cubic feet per day (141MMscf/d) of gas by 2028, that is, four years away.
Akpo West is tied back to the existing Akpo Floating Production Storage and Offloading (FPSO) facility, which started-up in 2009.
TOTAL said in the announcement that it produced 124,000 barrels of oil equivalent per day in 2023.
The reality is that, out of the 124,000BOEPD claimed for the field by the European giant, around 70,000BPD is liquid (condensate). The remaining 54,000BOEPD is gas, which translates to 324Million standard cubic feet of gas a day, which is supplied to the Nigeria Liquefied Natural Gas (NLNG) plant in Bonny, in the eastern Niger Delta basin.
TOTAL, in the short announcement, also noted that Akpo West field is on the Petroleum Mining Licence (PML) 2 license in Nigeria. It is the first time a field is announced by a major company in the context of the new nomenclature of mining licences in the country. Previously, Akpo field, like Egina, was in Oil Mining Lease (OML) 130.
The company adds that “Akpo West development leverages the existing Akpo facilities to keep costs low and minimize greenhouse gas emissions. The project’s carbon intensity is expected to be below 5 kg CO2e/boe and will contribute to reduce the average carbon intensity of TOTALEnergies’ portfolio”.
TOTALEnergies is the operator of PML2 with a 24% interest, in partnership with CNOOC (45%), Sapetro (15%), Prime 130 (16%) and the Nigerian National Petroleum Company Ltd as the concessionaire of the PSC.