logo
Green Energy International Exports First Crude from New Onshore Terminal in Nigeria

Green Energy International Exports First Crude from New Onshore Terminal in Nigeria

Zawya19-06-2025
Nigerian energy company Green Energy International (GEIL) has completed the development of the Otakikpo onshore terminal, situated in OML 11 near Port Harcourt. In June 2025, the company lifted its first crude cargo from the newly-constructed facility - the first indigenous onshore terminal constructed in the country in five decades – signaling the start of operations at the terminal.
The African Energy Chamber (AEC) – the voice of the African energy sector – commends GEIL for the development of the onshore terminal. The AEC believes that facilities such as this will play an instrumental part in supporting marginal field production by facilitating crude exports and increasing revenue generation in Nigeria. As the country strives to produce two million barrels per day (bpd), projects of this nature will support new investments by providing a direct route from offshore fields to market.
The Otakikpo terminal was developed in two years - six months ahead of schedule. The company broke ground on the construction of the facility in February 2023, with the development of storage facilities and the associated pipeline advancing in February 2024. Construction works continued to progress through May 2024, with associated infrastructure at the terminal – including offices and pump facilities – progressing in December 2024. By March 2025, the facility began injecting crude, with GEIL's production averaging 5,000 bpd. GEIL has since received regulatory approval from the government to boost production to 30,000 bpd under a revised field development plan. In June 2025, the facility received its first cargo via a vessel chartered by energy major Shell. The maiden cargo transported crude from the Otakikpo marginal field – located in Rivers State and operated by GEIL – to the terminal, kickstarting a new era of efficient crude distribution in Nigeria.
The terminal itself is a state-of-the-art facility with a storage capacity of 750,000 barrels. Plans are underway to increase storage capacity to three million barrels – dependent on market demands. The terminal is designed with an export capacity of 360,000 bpd, with crude transported via a 23-km, 20-inch pipeline connected to a single point mooring system in the Atlantic Ocean. At the site, tankers – such as Aframax chartered by Shell – can dock and load. The terminal is expected to significantly reduce operating costs for marginal fields in OML 11, primarily through cost-effective transportation. Prior to the construction of the onshore terminal, GEIL relied on barges to transport crude. However, with the terminal, the company stands to reduce the reliance on costly offshore floating stations, reducing overall operational costs by 40%.
For Nigeria's marginal fields, the terminal opens new doors for greater operational efficiency. The terminal is expected to unlock previously-stranded crude from more than 40 marginal fields across the region, with a capacity to receive up to 250,000 bpd from third-party producers. The government has long-sought to revive crude production through the development of marginal fields. A marginal field bidding round was launched in 2020 to entice indigenous operators to invest in marginal field opportunities, drawing in 591 companies seeking to develop 57 oilfields. Ultimately, 161 companies were shortlisted, most of which represented indigenous operators. Improved fiscals introduced through Nigeria's Petroleum Industry Act in 2021 further enticed investments by both international and regional players. Looking ahead, these foundations have seen a rise in marginal field production, with the GEIL-developed onshore terminal set to further support investments and exports.
'GEIL is not only setting a strong benchmark for other independent operators in Nigeria but serves as a testament to the central role indigenous energy companies play in the country's oil and gas sector. By establishing a domestic solution to producing, storing and exporting crude, GEIL is supporting marginal field production while laying the foundation for most efficient oil operations. The facility will play an instrumental part in supporting the country's crude production goals,' states NJ Ayuk, Executive Chairman of the AEC.
Distributed by APO Group on behalf of African Energy Chamber.
Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

VAALCO Energy Scales Up African Operations, Joins African Energy Week (AEW) 2025 as Platinum Partner
VAALCO Energy Scales Up African Operations, Joins African Energy Week (AEW) 2025 as Platinum Partner

Zawya

time17 minutes ago

  • Zawya

VAALCO Energy Scales Up African Operations, Joins African Energy Week (AEW) 2025 as Platinum Partner

U.S. oil and gas company VAALCO Energy has begun refurbishing its FPSO facility at the Baobab field in Block CI-40, offshore Ivory Coast. The modernization is set to increase production beyond the current 2,891 barrels of oil equivalent per day and extend the field's economic life. A new drilling campaign is planned for 2026 to further develop both the Baobab field and the nearby Kossipo discovery. In addition, VAALCO farmed into Block CI-705 as operator in March 2025, reinforcing its long-term commitment to Ivory Coast's energy sector. In line with the African Energy Week: Invest in African Energies agenda – which centers on maximizing resource development to end energy poverty and drive industrial growth – VAALCO Energy is participating in the 2025 edition as a Platinum Partner. Held under the theme, Invest in African Energy: Positioning Africa as the Global Energy Champion , this year's event will spotlight the contributions of companies like VAALCO in unlocking the continent's estimated 125 billion barrels of crude oil and 620 trillion cubic feet of natural gas. With over 600 million people in Africa lacking access to reliable electricity and 900 million without clean cooking solutions, Africa's hydrocarbon resources remain critical to closing the energy access gap. Recognizing this, VAALCO is expanding its investments and footprint across key African markets. In Gabon, the company operates the Etame Marin block with a 58.8% working interest and is preparing to launch a new drilling campaign in Q3 2025. To support its efforts in both Gabon and Ivory Coast, VAALCO secured a $300 million revolving credit facility from Standard Bank of South Africa in March 2025. In Egypt, VAALCO brought five new wells online in 2025, boosting daily output and enhancing regional energy stability. The company also identified new reserves and a production zone during a Q4 2024 exploration campaign. Its Egyptian portfolio spans the Eastern Desert – including the West Gharib, West Bakr and North West Gharib concessions – as well as the South Ghazalat concession in the Western Desert. Meanwhile, in Equatorial Guinea, VAALCO is progressing toward FID for the Venus field development in Block P, with front-end engineering and design currently underway. Drilling is set to commence following FID, with first oil targeted for 2026. As the company scales up its operations across the continent, AEW: Invest in African Energies offers a strategic platform for VAALCO to engage with partners, investors, buyers and regulators and to solidify its role in advancing Africa's industrialization. 'VAALCO Energy's growing footprint across Africa speaks to the vast opportunities available on the continent. Their commitment to investing in infrastructure, boosting production and supporting local economies aligns perfectly with our mission to position Africa as a global energy frontier,' states Tomás Gerbasio, VP of Commercial and Strategic Engagement, African Energy Chamber. Distributed by APO Group on behalf of African Energy Chamber. About African Energy Week: AEW: Invest in African Energies is the platform of choice for project operators, financiers, technology providers and government, and has emerged as the official place to sign deals in African energy. Visit for more information about this exciting event.

Nigeria: MTN, 9mobile partner on national roaming to boost seamless connectivity
Nigeria: MTN, 9mobile partner on national roaming to boost seamless connectivity

Zawya

timean hour ago

  • Zawya

Nigeria: MTN, 9mobile partner on national roaming to boost seamless connectivity

In a deliberate approach to strategically redefine Nigeria's telecom landscape for seamless customer experience, MTN Nigeria Communications Plc and Emerging Markets Telecommunications Services Limited (9mobile) have officially announced a landmark rollout of their national roaming agreement, which has been approved by the Nigerian Communications Commission (NCC). In a joint press conference organised by the duo held at L'eola Hotel, Mobolaji Bank-Anthony, Maryland, Ikeja, Lagos, on Thursday, this three-year agreement enables 9mobile subscribers to roam seamlessly on MTN Nigeria's extensive network. As a result, it significantly extends 9mobile's coverage and enhances service quality for its customers. The partnership signifies a shift towards greater industry collaboration, aligning with the NCC's vision for a more inclusive and efficient digital ecosystem. Beyond infrastructure sharing, this agreement promotes greater operational efficiency, stronger connectivity, and an improved user experience. It also paves the way for deeper collaboration between the two telecommunications companies, particularly through a proposed spectrum leasing arrangement. Under this agreement, 9mobile will lease its 900MHz (5MHz) and 1800MHz (15MHz) bands to MTN for three years, which will further strengthen MTN's network capacity and service quality. 'This partnership marks a bold resurgence for 9mobile,' said Obafemi Banigbe, CEO of 9mobile. 'It empowers us to meet the needs of our customers, particularly the youthful and enterprise users, by consistently delivering high-quality service as we roll out city by city in the coming weeks.' Banigbe also acknowledged the leadership of Dr Aminu Maida, Executive Vice Chairman of the NCC, for enabling such progressive industry collaboration, as well as Dr Bosun Tijani, Minister of Communications, Innovation and Digital Economy, for advocating a resource-efficient, consumer-first telecom ecosystem. 'In today's telecom environment, access is more strategic than ownership,' Banigbe explained. 'Access to infrastructure has become more important than outright ownership. Instead of duplicating networks, we are investing in access that is commercially viable and sustainable. 'Network infrastructure typically accounts for 70–75 per cent of an operator's costs, and savings in this area mean we can reinvest in innovation and customer experience. 'At 9mobile, our mantra is simple: build infrastructure where necessary, share it where possible,' he concluded. Dr Karl Toriola, CEO of MTN Nigeria, described the agreement as a milestone for the sector. 'This collaboration underscores our commitment to industry innovation, customer-centricity, and support for the NCC's goal of a fully connected Nigeria,' said Toriola. 'It reflects our shared value philosophy, prioritising partnerships that benefit the entire ecosystem.' Toriola also commended Dr Tijani's efforts in promoting meaningful collaboration as a key driver of digital access, service quality and nationwide inclusion. This pioneering agreement sets a new benchmark for infrastructure sharing in Nigeria. It exemplifies how competitors can work together to address systemic challenges, reduce redundancies, and collectively transform the industry—ultimately delivering broader coverage, better service, and faster access to emerging technologies for Nigerian consumers. Copyright © 2022 Nigerian Tribune Provided by SyndiGate Media Inc. (

OPEC oil output rises in June on Saudi and UAE hikes, Reuters survey finds
OPEC oil output rises in June on Saudi and UAE hikes, Reuters survey finds

Zawya

time2 hours ago

  • Zawya

OPEC oil output rises in June on Saudi and UAE hikes, Reuters survey finds

OPEC oil output rose in June, a Reuters survey found, led by Saudi Arabia after an OPEC+ agreement to raise production, although the increase was limited as Iraq pumped below target to compensate for earlier overproduction. The Organization of the Petroleum Exporting Countries pumped 27.02 million barrels per day last month, up 270,000 bpd from May's total, the survey showed on Friday, with Saudi Arabia making the largest increase. OPEC+, which comprises OPEC and its allies including Russia, is accelerating its plan to unwind its most recent layer of output cuts. At the same time, some members are required to make extra cuts to compensate for earlier overproduction, in theory limiting the impact of the hikes. Under an agreement by eight OPEC+ members covering June output, the five of them that are OPEC members - Algeria, Iraq, Kuwait, Saudi Arabia and the United Arab Emirates - were to raise output by 313,000 bpd before the effect of compensation cuts totalling 173,000 bpd for Iraq, Kuwait and the United Arab Emirates. According to the survey, the actual increase by the five was 267,000 bpd, with Saudi Arabia accounting for 200,000 bpd, although it is still pumping less than its quota. Iraq, which is under pressure to boost compliance with OPEC+ output quotas, curbed production, the survey found. The United Arab Emirates raised output by 100,000 bpd but still pumped below its OPEC+ quota. There is a wide range of estimates of output in Iraq and the UAE with many outside sources putting the countries' output higher than the countries themselves. While the Reuters survey and data provided by OPEC's secondary sources show they are pumping close to the quotas, other estimates, such as those of the International Energy Agency, say they are pumping significantly more. The Reuters survey aims to track supply to the market and is based on flows data from financial group LSEG, information from other companies that track flows such as Kpler, and information provided by sources at oil companies, OPEC and consultants. (Additional reporting by Ahmad Ghaddar Editing by Emelia Sithole-Matarise)

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store