The NNPC-Aiteo Joint Venture has made a strategic move by introducing the Nembe Crude Oil Grade into the competitive international market.
During the prestigious Argus European Crude Conference in London, the JV, composed of NNPC and Aiteo Eastern Exploration & Production Ltd, announced this significant development. Aiteo E&P, a top indigenous hydrocarbon producer, has operated OML 29 since acquiring it from Shell in 2014.
In a major shift, the Nembe Crude, once blended with Bonny Light, now stands alone and exports through the newly commissioned Nembe Crude Oil Export Terminal (NCOET). With an API gravity that appeals to European buyers, this grade offers a blend of high quality and environmental responsibility, characterized by low sulphur content and a reduced carbon footprint due to innovative flare gas capture techniques.
Already, two shipments totaling 1.9 million barrels have made their way to France and the Netherlands, underscoring the grade’s premium quality and its advantage over the Brent benchmark.
Resuming operations, the NNPC-Aiteo OML 29 JV is set to increase Nigeria’s crude oil exports with additional monthly shipments and substantial gas exports.
The NCOET, envisioned as a Floating Storage and Offloading (FSO) vessel, boasts a 2 million barrel capacity and the versatility to serve tankers from AFRAMAX to VLCC, ensuring a robust export potential of over 3.6 million barrels per month.
Addressing previous constraints, the production from OML 29 has overcome evacuation challenges through a synergistic and innovative Alternative Crude Oil Evacuation Solution, underscoring the power of stakeholder collaboration.
The Argus Conference serves as a nexus for industry leaders from across the global oil markets to exchange insights and foster connections, emphasizing the dynamic nature of the crude oil industry.
