ExxonMobil Corporation, has announced the discovery of up to one billion barrels of oil reserves Niger Delta region.
The huge find is located around the Owowo field, offshore Akwa Ibom and Rivers State, Nigeria.
The Owowo field spans portions of the contract areas of Oil Prospecting License (OPL) 223 and Oil Mining License (OML) 139.
OPL223 is off the coast of Akwa Ibom and OML 139 off the coast of Rivers State, respectively.
ExxonMobil says the huge oil discovery has a potential recoverable resource of between 500 million and one billion barrels of oil.
The Owowo-3 well, which was spud on September 23, 2016, encountered about 460 feet (140 meters) of oil-bearing sandstone reservoir.
According to the statement, the Owowo-3 extends the resource discovered by the Owowo-2 well, which encountered about 515 feet (157 meters) of oil-bearing sandstone reservoir.
Commenting on the discovery, the President of ExxonMobil Exploration Company, Stephen Greenlee, said: “We are encouraged by the results and will work with our partners and the government on future development plans.”
The company added that the Owowo-3 was safely drilled to 10,410 feet (3,173 meters) in 1,890 feet (576 meters) of water.
ExxonMobil holds 27% interest and is the operator for OPL 223 and OML 139.
Joint venture partners include Chevron Nigeria Deepwater G Limited (27%), Total E&P Nigeria Limited (18%), Nexen Petroleum Deepwater Nigeria Limited (18%), and the Nigeria Petroleum Development Company (NPDC) Limited, a subsidiary of the Nigerian National Petroleum Corporation (NNPC) (10%).
ExxonMobil had announced the sale of its 60 per cent stake in Mobil Oil Nigeria Plc to NIPCO Plc.
This will see the oil giant exiting from the Nigeria’s downstream oil and gas sub-sector.
Before the sale of its downstream subsidiary, the company had three affiliates operating in Nigeria: Mobil Producing Nigeria Unlimited (MPN); Esso Exploration and Production Nigeria Ltd. (EEPNL); and Mobil Oil Nigeria (MON).