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Transcorp assures stakeholders on oil block

By on April 9, 2015

The Chief Executive Officer of Transnational Corporation of Nigeria(Transcorp), Mr. Emmanuel Nnorom, has said  the withdrawal of SacOil Holdings Limited from participating in OPL 281 will not affect the funding and production prospect of the oil block. OPL 281, located in the Niger Delta, is an asset within the portfolio of Transcorp’s energy business.

Transcorp had in May 2014, signed the Production Sharing Contract (PSC) for OPL 281 with the Nigerian National Petroleum Corporation (NNPC) and received full regulatory approvals to commence oil and gas prospecting in OPL 281. Transcorp also entered into partnership agreement with SacOil Holdings of South Africa. However, SacOil last week announced its withdrawal as part of its ongoing portfolio rationalisation.

However, in a notification to the Nigerian Stock Exchange (NSE) yesterday, Nnorom assured stakeholders that the withdrawal would not affect the oil block.

“OPL 281 is one of the most prolific remaining oil and gas exploration assets in the Niger Delta and the substantial reserves form part of our integrated energy strategy, which combines power generation, downstream refining and petrochemicals. SacOil withdrawal has no impact on the funding,” he said.

According to him, since signing the PSC with NNPC,  Transcorp has pursued an aggressive work programme aimed at bringing OPL 281 into oil and gas production by end 2017, and has so far acquired and evaluated some 150 sq km of 3D seismic, with its first Well planned for drilling by the end of this year.

Transcorp is a conglomerate that focuses on acquiring and managing strategic businesses that create long term shareholder returns and socio- economic impact. Its business interests are in four strategic sectors: Power, Energy, Hospitality and Agriculture.
It’s current businesses are: Transcorp Hilton Hotel, Abuja; Transcorp Hotels, Calabar; Teragro Commodities Limited, operator of Teragro Benfruit Plant,  Transcorp Ughelli Power Limited, which acquired Ughelli Power Plc, owner of the 972MW Ughelli Power Plant and Transcorp Energy Limited, operator of OPL 281.

 

[ThisDay]