TotalEnergies and NNPCL finalize investment in Ubeta gas field

TotalEnergies, in collaboration with the Nigerian National Petroleum Corporation Ltd (NNPCL), has taken the Final Investment Decision (FID) for the development of the Ubeta gas field. This strategic decision underlines a significant advancement in Nigeria‘s energy sector, particularly in leveraging gas resources for both local and international markets.

Located approximately 80 kilometers northwest of Port Harcourt in Rivers State, the Ubeta gas field resides within the OML 58 license area. The area is already known for its active Obagi oil field and Ibewa gas and condensate field. The gas produced here is crucial, serving both domestic needs and as a supply to the Nigeria LNG (NLNG) plant.

The new development plan includes a 6-well cluster that will be connected to the existing Obite treatment facilities via an 11 km underground pipeline. The commencement of production at Ubeta is scheduled for 2027, aiming for a substantial output of 300 million cubic feet per day. This will enhance the NLNG’s capacity, particularly significant with its ongoing expansion from 22 to 30 Mtpa.

Ubeta’s development strategy focuses on sustainability, emphasizing low-cost and low-emission solutions. It incorporates the integration of a 5 MW solar plant at the Obite site and the use of an electrified drilling rig to reduce carbon intensity.

Mike Sangster, Senior Vice President Africa, Exploration & Production at TotalEnergies, highlighted the project’s alignment with governmental incentives and its role in boosting the Nigerian economy through increased NLNG exports. He remarked, “Ubeta is the latest in a series of projects developed by TotalEnergies in Nigeria, most recently Ikike and Akpo West. I am pleased that we can launch this new gas project which has been made possible by the Government’s recent incentives for non-associated gas developments.”

This development not only signifies a leap towards energy sustainability but also supports substantial local employment, with over 90% of manhours dedicated to local workers, thus enhancing local skill development and economic growth.

The Ubeta project represents a strategic pivot towards more sustainable energy solutions within Nigeria’s oil and gas sector. It aligns with global environmental goals and showcases an effective model of integrating renewable energy sources with traditional fossil fuels.