Chevron Nigeria Limited (CNL), a subsidiary of Chevron Corporation, has announced a significant oil discovery, estimated to hold 17,000 barrels of oil per day (bpd). This discovery is expected to provide a much-needed boost to Nigeria’s declining oil production.
The discovery was made by the Meji NW-1 well in Petroleum Mining Lease 49, located in the shallow waters of the Western Niger Delta. Chevron shared this news in a statement to S&P Global Commodity Insights on October 18.
“This accomplishment aligns with Chevron Nigeria’s ongoing commitment to developing its resources in the country, including onshore and shallow water areas,” the company stated. It also supports Chevron’s global strategy of identifying new resources to extend the life of existing assets and accelerate production with shorter development cycles.”
Although Chevron did not provide further details or a production timeline for the Meji NW-1 field, this find is expected to contribute to Nigeria’s oil output, which has struggled due to theft, sabotage, and ageing infrastructure.
Chevron holds a 40% stake in Oil Mining Lease (OML) 49, in partnership with the Nigerian National Petroleum Corporation (NNPC). The Meji field, where the discovery was made, once produced 51,000 bpd in 2005 but has since declined to 17,000 barrels of oil equivalent per day (boepd), predominantly crude oil.
The discovery is timely, as many oil majors like Shell, Eni, and TotalEnergies have been exiting Nigeria’s onshore and shallow water operations in favour of more secure offshore investments or ventures in other regions like Namibia and Guyana. Recent asset sales to local companies, including Oando and Seplat, have faced delays in approval.
Despite the challenges facing Nigeria’s oil sector, Chevron’s new oilfield discovery offers optimism. It not only promises to enhance national oil production but also holds the potential to create jobs and generate significant revenue for the local communities surrounding the field.
