HOLDING COMPANY FOR GLOBAL OIL AND
OPL 2001 and OPL 2003 – Assets
Key Highlights of
OPL 2001 and OPL 2003
- Utapate field with 2P Crude Reserves of >200 MMbbls and Gas reserves of >2 TCF
- One of the highest ranked block in the Govt auction round
- Already produced 50 MMbbls of oil and 144 BCF of gas from Utapate Field
- Discovered Resource of 0.25 Tcf of Gas
- Estimated resource at bid round of 80MMBBL STOIIP and 0.28 Tcf of GIIP
- This area is largely gas prone however additional 3-D is needed to uncover full potential
Key Highlights of OPL 2001 and OPL 2003
- The OML 13 block, which contains OPL 2001 and 2003, is located at the eastern corner of Eastern Niger delta in Akwa Ibom State, some 90 km south east of Port Harcourt and covers a total area of 1987 km2. It is made of 13 discovered fields for which Utapate Field has produced ~50mmbl (cumulative) till date.
- OML 13 was earlier owned by Shell and had to relinquish the block back to Nigerian Government – which carved out three blocks – OPL 2001, 2002 & 2003 – these are now awarded to local Nigerian Companies.
- In August 2015, S3 Fund Inc (“S3”), entered into a Participating Agreement with local Nigerian Block Awardees (Jahcon & OIS) to invest in OPL 2001 and OPL 2003 (the “Blocks”). S3 is part of a Global group engaged in diversified business activities Oil & gas E&P activities. The group’s companies include Indus Gas Limited, a UK listed company and Focus Energy Ltd., which owns and operates five oil and gas acreages in India for past 17 years
- Following signing of Participation Agreements, current ownership of blocks is as follows:
- § OPL 2001 – Jahcon: 56.25%, OIS: 6.25%, S3 37.5%* [*Effective Economic Interest of >95%]
- § OPL 2003 – OIS: 56.25%, Jahcon: 6.25%, S3: 37.5% * [*Effective Economic Interest of >95%]
- S3 has committed to fund all costs including Signature Bonus of $80mn payable to Federal Government of Nigeria, minimum exploration commitments and Appraisal and Development Capex in the field in the Blocks. In return S3 will have a priority recovery right of all amounts funded + Interest of L+10%.
- The Blocks contains several oil and gas discoveries (including world class Utapate Field) with proven/2P recoverable reserves of 262 mmbbl of Oil and 1.5 Tcf of Gas.
- S3 intends to commercialize the Blocks at the earliest with a combination of re-instating existing oil production facilities, drilling over new production wells and installing new production facilities with an approximate initial investment of around US$ 700mn.