San Leon Energy Plc said re-perforation operations at wells in Oil Mining Lease (OML) 18 onshore Nigeria has increased production to about 61,000b/d of oil, Vanguard reported.
According to the company, “the well has now been temporarily shut in to allow minor production upgrades and additional workover operations. The re-perforation program will continue to be implemented across a number of wells in this field in the coming months,” Nigeria Today informed.
San Leon stated it is also expecting new production from at least two other Nigerian oil prospects during the first half of 2017. The increase in production is expected to boost Nigeria’s output.
It is noted that Nigeria is exempted from an agreement crafted by the Organisation of Petroleum Exporting Countries (OPEC) to cut production because of militant attacks on its oil sector. The managed decline is aimed at bringing the market back to a reasonable balance between supply and demand. An oversupplied market pushed crude oil prices below $30 per barrel in early 2016.