Game Changer: Nigeria to Boost Oil Output with $315 Million Indigenous FPSO Vessel

By Achimi Muktar

Nigeria’s crude oil production is set to increase by 30,000 barrels per day (bpd) following the unveiling of a $315 million Floating Production, Storage, and Offloading (FPSO) vessel, fully funded by Oriental Energy Resources Limited.

The state-of-the-art FPSO, named ENEM FPSO, marks a historic milestone as the first of its kind developed by a fully indigenous Nigerian oil and gas company. With a storage capacity of one million barrels, it will kick off production at 17,000 bpd and scale up to 30,000 bpd. The vessel is expected to arrive in Nigeria in the first quarter of 2025 and commence operations at the Okwok Oil Field in the first half of the year.

A Symbol of National Ambition

The commissioning ceremony, held at the Drydocks World Dubai Shipyard in the UAE, was graced by Vice President Kashim Shettima, who represented President Bola Ahmed Tinubu. Shettima hailed the project as a significant step in Nigeria’s quest to modernize its oil and gas sector.

“This FPSO vessel is more than a technological achievement; it symbolizes Nigeria’s ambition and readiness to meet global energy demands,” Shettima said. “Under President Tinubu’s leadership, the oil and gas sector is undergoing a transformation that is central to our economic revitalization.”

He further emphasized that the vessel is a critical component of Nigeria’s strategy to optimize productivity and solidify its position as a global energy hub.

Industry Leaders Laud the Milestone

Alhaji Muhammadu Indimi, Executive Chairman of Oriental Energy Resources Limited, described the FPSO as a testament to the potential of indigenous companies in driving Nigeria’s energy ambitions.

“When operating at full capacity, the Okwok Oil Field will produce up to 30,000 barrels of oil daily, significantly enhancing Nigeria’s production capacity and contributing to government revenue,” Indimi said. He added that the company’s long-term vision is to deliver 100,000 barrels per day of production.

Governors Babagana Zulum of Borno State and Abdullahi Sule of Nasarawa State praised Indimi’s vision and commitment to Nigeria. “This achievement shows how a dedicated entrepreneur can transform not just his state but the entire nation,” Zulum said.

A Boon for Nigeria’s Economy

The FPSO project aligns with Nigeria’s broader strategy to maximize energy production and bolster its economy. With the anticipated revival of home-based refineries, vessels like ENEM FPSO will play a pivotal role in increasing output and creating jobs.

Vice President Shettima noted that this milestone reflects Nigeria’s ability to compete on the global stage. “This vessel symbolizes a future where Nigerian ingenuity meets global standards,” he said, reaffirming the government’s support for transformative initiatives in the oil sector.

A Collaborative Success

The Chief Executive Officer of Drydocks Dubai, Capt. Dr. Antolovic Rado, the vessel’s contribution to the development of the Okwok oil field region, stating that it sets a benchmark for operational excellence in the industry.

As the ENEM FPSO prepares to set sail, it not only represents a leahighlightedp forward for Nigeria’s oil production but also serves as a powerful reminder of the nation’s potential to lead in global energy innovation.