The Nigerian Upstream Petroleum Regulatory Commission has welcomed ExxonMobil’s decision to invest $1bn in the Usan Infill Project located in Oil Mining Lease 138, describing the development as a major milestone capable of reviving deepwater drilling activities and accelerating Nigeria’s crude oil production ambitions.
The investment, announced during the 25th Nigeria Oil and Gas Energy Week Conference and Exhibition in Abuja on Wednesday, is expected to increase production from the Usan field by about 40,000 barrels of crude oil per day.
Reacting shortly after the announcement by the Managing Director of ExxonMobil affiliates in Nigeria, Jagir Baxi, the Commission Chief Executive of the NUPRC, Oritsemyiwa Eyesan, said the investment marked the return of ExxonMobil’s drilling activities in Nigeria after nearly a decade.
According to a statement issued on Wednesday by the Head of Media and Corporate Communications at the commission, Eniola Akinkuotu, Eyesan described the renewed commitment by the oil major as a strong vote of confidence in Nigeria’s upstream petroleum sector and the ongoing reforms introduced under the Petroleum Industry Act.
She said the announcement was particularly significant because Esso Exploration and Production Nigeria –ExxonMobil’s affiliate – had not undertaken any drilling operation since 2016.
