Shell Begins Production Off Nigeria

Shell Nigeria Exploration and Production Company (SNEPCo) has started production at the Bonga Phase 3 project offshore Nigeria.

Bonga Phase 3 is an expansion of the Bonga Main development, with peak production expected to be about 50,000 barrels of oil equivalent per day (boepd). The oil will be transported through existing pipelines to the Bonga floating production storage and offloading facility, which has the capacity to produce more than 200,000 boepd and 150 million standard cubic feet of gas per day.

Production began at the Bonga field in 2005. The Bonga field was Nigeria’s first deepwater development, with a water depth of more than 1,000 meters.

The Bonga project is operated by SNEPCo as a contractor under a production sharing contract with the Nigerian National Petroleum Company, which holds the lease for OML 118, in which the Bonga field is located.

SNEPCo holds a 55 percent interest in OML 118. The other co-venturers are Esso Exploration & Production Nigeria Ltd (20 percent), Total E&P Nigeria Ltd (12.5 percent) and Nigerian Agip Exploration Ltd (12.5 percent).