OANDO Exploration and Production Limited (OEPL) announced that it has received approval from the ministry of petroleum resources for Exile Resources’ farm out deal, previously announced on January 5th,  whereby OEPL can acquire a 75 per cent interest in Exile’s 40 per cent in the Akepo field (OML 90) in return for funding Exile’s previous costs, and financing the future development of the project.
Oando sources reveal that Noble Drilling’s rig, Lloyd Noble, has been contracted and is due on location in the last week of October, for the well re-entry, completion and testing programme.
Commenting, Wale Tinubu, group chief executive, Oando Plc said, “This development further reinforces Oando’s diverse earnings platform and reflects our consistent progressive strides in the upstream oil and gas sector. We estimate this division of the company to be responsible for over 50 per cent of the group’s revenue base in the near future. Our portfolio of near term and producing assets provide us the opportunity to earn directly in dollars, hedging our income, and enabling us to return superior value to our shareholders.”
Otunba Funso Lawal, chairman of Sogenal, said, “This is very good news. The partnership is at an advanced stage of its operation and it’s a vote of confidence that we now have ministerial approval to proceed with our plans to develop the Akepo Field.”