NNPC introduces a new crude oil grade and commences its export to Spain. Find out what this means for Nigeria’s oil industry.
On Monday, NNPC’s spokesperson Femi Soneye made public the news of Utapate crude oil blend commencing operations in July. The first shipment of this cargo was reported to have been directed towards Spain.
NNPC Exploration and Production Limited (NEPL), the upstream subsidiary of the company, fully operates Oil Mining Lease (OML) 13 from where Utapate crude oil grade is extracted.
At offshore Akwa Ibom State, Nigeria, Utapate crude is presently being produced at a rate of 28,000 barrels per day and has the capability to rise up to 50,000 barrels per day. The recently discovered crude comprises sulphur content estimated at around 0.0655%.
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Repsol, the Spanish oil company, has won the primary bid for 950,000 barrels of Utapate crude that resembles Amenam crude which is in high demand.
Gulf Transport and Trading – another prominent dealer of crude oil – have successfully secured tenders to transport this cargo during August and September.
At the Argus European Crude Conference in London last year, NNPC declared that it had introduced a new crude oil grade known as Nembe.
This particular type of oil is being produced at Oil Mining Lease (OML) 29 Joint Venture which is operated by NNPC and Aiteo. Soneye took note of this announcement.
The Utapate crude oil blend, like the Nembe grade counterpart, exhibits a low sulphur concentration and carbon footprint as it eradicates flare gas emissions. Consequently, this makes it an enticing choice for key purchasers in Europe.
By developing new assets, NNPC demonstrates its dedication to boost Nigeria’s crude oil production and widen reserves, as this achievement underlines.
