Nigeria Set to Increase Oil Production as Company Drills Second Well

• Petralon 54 Ltd, an indigenous operator of the Dawes-Island Field in Rivers State, is boosting Nigeria’s daily crude production by 2,500 barrels with the drilling of a second well
• The company, backed by Petralon Energy Limited, is strengthening its role in the upstream oil sector while engaging closely with its host communities
• Supported by government initiatives like Project One Million Barrels per Day, Petralon plans to expand output further and pursue strategic investments for future growth

Legit.ng journalist Zainab Iwayemi has 5-year-experience covering the Economy, Technology, and Capital Market.

Nigeria's daily crude production is expected to increase by 2,500 barrels thanks to Petralon 54 Ltd, an indigenous exploration and production company that is the sole operator of the Dawes-Island Field in Rivers State and a subsidiary of Petralon Energy Limited.

Following the arrival of the OES Teamwork rig at the Dawes-Island location from another successful operation, the company started drilling a second well in the Dawes-Island Field this month.

Petralon 54 Ltd is solidifying its position as a significant participant in the Nigerian upstream industry and as an operator with vast potential to generate value for stakeholders through its increased operations.

“Drilling an oil well is an overwhelming task for any organisation because of the logistics and the investments required, but we are happy that our meticulous planning and efforts have been met with good fortune,” said Ahonsi Unuigbe, Founder & CEO of Petralon Energy Limited.

“We are emboldened to continue our economic ambassadorial role of creating value for our stakeholders – shareholders, investors, our host communities, indigenous oil servicing companies, and regulators. As an entrepreneurial indigenous oil exploration and production company, we are open to new opportunities and ready to advance the socio-economic good of the Nigerian nation,” Ahonsi added.

By creating a favourable climate for current and potential investors, the Nigerian government has recently maximised production from the country's oil and gas resources.

The government has also taken the lead in the "Project One Million Barrels per Day," which seeks to boost national output by one million barrels by resolving each production bottleneck through a strong partnership between operators and regulators.

Operators in the country's oil and gas industry are therefore required to maximise the resources entrusted to them in order to support the nation's economic stability.

In compliance with the Petroleum Industry Act of 2021, the Federal Government of the Federal Republic of Nigeria granted Petralon 54 Petroleum Prospecting License No. 259 (PPL 259). Since then, the company has continued to actively engage with its communities.

The organisation views its host communities as stakeholders and partners in the shared goal of effectively advancing the field.

In the future, Petralon Energy hopes to build on its achievements by expanding field output even further and pursuing value-driven, strategic investments to open up new growth prospects in the industry.

Nigeria gains new position in Africa

Legit.ng reported that the Nigerian Upstream and Petroleum Regulatory Commission (NUPRC) has announced that Nigeria's official petroleum reserves have increased to 37.28 billion barrels of crude oil and condensate, along with 210.54 trillion cubic feet of natural gas.

The NUPRC disclosed this recently in a release, declaring the country’s reserve position in crude oil and natural gas.

According to the release signed by NUPRC chief executive officer, Gbenga Komolafe, Nigeria’s proven (2P) crude oil and condensate reserves stand at 31.44 billion barrels and 5.84 billion barrels respectively.

Source: Legit.ng