Edo Refinery Gets Delivery Of 15,000 Barrels Of Crude From Oza Oil Field

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The Edo Refinery has officially received 15,000 barrels of crude oil from the Oza Oil Field for production.

The Chief Executive Officer of Decklar Resources, Sanmi Famuyide, confirmed the development in a press release on Thursday, highlighting the company’s consistent injection of crude oil volumes into the Trans Niger Pipeline for transportation to the Bonny Export Terminal.

ERPC, in collaboration with the State Government, led by Governor Godwin Obaseki and AIPCC, developed the refinery under a Memorandum of Understanding (MoU).

Originally a 6,000bpd capacity plant, it is currently undergoing expansion to reach 21,000bpd. Equipped with the necessary feedstock, the facility has the capability to produce 500,000 litres of diesel, 300,000 litres of Naphtha, and 200,000 litres of low-pour fuel oil.

Naija News understands that the Oza Oil Field is managed by Decklar Resources Inc. and Millenium Oil & Gas Company Limited.

In the press release today, Famuyide said: “We are very pleased to be announcing the significant milestone of the first crude oil exports from the Oza Oil Field through the TNP and Bonny Export Terminal. In addition, crude oil is still being trucked to the local refinery customer in Edo State.

“The restoration and continued operation and availability of the Trans Niger Pipeline connection between the Oza Oil Field and the Bonny Export Terminal and delivery and sales of crude oil to the local refinery has allowed Decklar and Millenium to deliver a steady stream of crude oil to market and to generate a continuing revenue stream.

“With continued revenues, the Company’s financial position will improve enabling progress with additional field development activities including re-entries and drilling plans. In addition, the approximately 8,000 barrels of crude oil Decklar and Millenium previously delivered to the Forcados export terminal is expected to have a vessel nomination in the next few weeks with export and sales coming thereafter.”

Noting that the crude oil produced from the field is sold to Shell Western Supply and Trading Limited (Shell), Famuyide said: “Crude oil production from the Oza Oil Field through the TNP to the Bonny Export Terminal is being sold to Shell Western Supply and Trading Limited (“Shell”). Crude oil held in storage at the Oza Oil Field and crude oil being produced into storage tanks from the Oza-1 and Oza-4 wells is being transported by truck a short distance in-field to the transfer pumping station at the Oza Oil Field for injection into the TNP.

“The first crude oil export cargo of 15,000 bbls to Shell was loaded on board a vessel with a bill of lading date of February 7, 2024, with sales proceeds expected in the last week of March.

“Decklar and Millenium are expecting another crude oil export nomination notice from Shell before the end of March 2024 for the export of another 15,000 barrels of crude oil currently held in the Bonny Export Terminal tanks.”

Source link: Naija News/

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