Shell Taps COOEC for Nigeria’s OML 144 Gas Project
Shell has signed a significant engineering, procurement, and construction (EPC) contract with China’s Offshore Oil Engineering Company (COOEC) to advance Nigeria’s gas production. COOEC will deliver a platform jacket and topsides for the HI gas and condensate project in Nigeria’s Offshore Mining Licence (OML) 144.
Key Milestones in Offshore Development
Situated 50 kilometres offshore in the Gulf of Guinea, the HI project is expected to elevate Nigeria’s gas output. At full capacity, it will supply up to 500 million cubic feet of gas daily to the Nigeria LNG (NLNG) Train 7 facility, while also exporting 70,000 barrels of condensate daily at peak production.
Strategic Collaboration with COOEC
Shell’s decision to award COOEC the contract follows extensive inspections and evaluations to ensure the contractor meets Shell’s high standards for offshore projects. COOEC will construct a wellhead and processing platform linked by a bridge to an accommodation platform, enabling efficient drilling, processing, and exports.
Advancing Nigeria’s Energy Sector
The HI project forms part of Shell’s long-term strategy to position Nigeria as a key player in the global energy market. The development involves drilling six non-associated gas (NAG) wells, with gas and condensate transported via a newly constructed 20-inch pipeline connecting to Shell’s Offshore Gas Gathering System (OGGS).
Alignment with Nigeria’s “Decade of Gas” Initiative
This project supports Nigeria’s “Decade of Gas” initiative, which aims to expand domestic gas usage, boost exports, and promote environmental sustainability by reducing reliance on high-polluting fuels.
Boosting NLNG Train 7 Capacity
The project will supply critical feedstock gas to the NLNG Train 7 facility, currently under construction. This facility aims to increase Nigeria’s LNG production capacity by 35%, enhancing the country’s global competitiveness in LNG exports.
Economic and Environmental Benefits
The HI project offers significant economic benefits, including job creation during construction and operations. The integration of advanced technology will provide local workers with valuable skills, fostering growth in Nigeria’s energy sector.
Environmentally, the project aligns with global shifts toward cleaner energy sources. Natural gas, a lower-carbon alternative to coal and oil, will serve as a key transition fuel. The export of 70,000 barrels of condensate daily at peak production will further bolster Nigeria’s revenue, strengthening the nation’s economy.
