SEATTLE (Oil Monster): The Nigerian National Petroleum Company (NNPC) has joined hands with energy major TotalEnergies and Sapetro Consortium in signing a production sharing contract (PSC) for petroleum prospecting licences (PPLs) 2000 and 2001. This is the country’s first PSC covering exploration and production of both crude oil as well as natural gas.
While highlighting on the benefits of the PSC, NNPC group CEO Engr. Bashir Bayo Ojulari noted that the contract is unique in many aspects. It is the first PSC with robust gas terms that proposes a profit gas fleet that aims to incentivise monetisation of non-associated gas, he said.
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The signing of the contract is in line with the federal government’s recent focus on tapping the country’s hydrocarbon resources in a profitabel and responsible manner. The partnership will utilize expertise and technology of its members to surpass the successes of previous deep-water projects.
The contractors for the project are TotalEnergies and Sapetro, who will own 80% and 20% ownership interest in the awarded offshore blocks.
TotalEnergies id the first international company to secure deep-water assets in the country in more than a decade.
