The Shell Petroleum Development Company of Nigeria Ltd joint venture has started production at Gbaran-Ubie Phase 2, a key project in Nigeria’s Niger Delta region.
In a statement Wednesday, the company said Phase 2 follows the success of the first phase of the Gbaran-Ubie integrated oil and gas development, which was commissioned in June 2010. Peak production of around 175,000 barrels of oil equivalent (boe) per day is expected in 2019.
“Today’s announcement is a positive step for Shell’s global gas portfolio,” said Andy Brown, Shell’s Upstream Director. “It is also good news for Nigeria as gas from Gbaran-Ubie Phase 2 will strengthen supply to the domestic market and maintain supply to the export market.”
Eighteen wells have been drilled and a new pipeline constructed between Kolo Creek and Soku which connects the existing Gbaran-Ubie central processing facility to the Soku non-associated gas plant. First gas flowed from the wells in March 2016, with the facilities coming on stream in July 2017.
The Shell Petroleum Development Company (SPDC) is the operator of a joint venture between the government-owned Nigerian National Petroleum Corporation (NNPC, 55%), SPDC (30%), Total E&P Nigeria Ltd (10%) and ENI subsidiary Nigerian Agip Oil Company Limited (5%).