Nigerian National Petroleum Corporation (NNPC), FIRST Exploration & Production (First E&P) and Schlumberger signed a tripartite agreement for development of the Anyala and Madu fields under OML 83 and OML 85, offshore Nigeria.

Under the agreement, Schlumberger will contribute the required services in kind and capital for the project development until first oil. The joint project team will leverage the technical expertise of Schlumberger and the extensive local knowledge of the partners.

OML 83 and OML 85 are in shallow waters 40 km offshore in the Niger Delta. The Anyala and Madu fields are discoveries with a combined STOIIP of more than 450 million bbl and GIIP of more than 800 Bscf. First E&P holds a 40% interest in the licenses and is the operator of the asset; NNPC holds the remaining 60%.

The project will be developed with an existing FPSO and is designed to add 50,000 bbls of oil per day and 120 MMscf of gas per day. Project FID is expected to be made in December 2017, with first oil production in 2019. The investment in the project, phased over several years, is estimated at $700 million. The agreement is based on a guaranteed project return and includes a payment assurance bank facility.

About Schlumberger

Schlumberger is the world's leading provider of technology for reservoir characterization, drilling, production, and processing to the oil and gas industry. Working in more than 85 countries and employing approximately 100,000 people who represent over 140 nationalities, Schlumberger supplies the industry's most comprehensive range of products and services, from exploration through production, and integrated pore-to-pipeline solutions that optimize hydrocarbon recovery to deliver reservoir performance.

Schlumberger Limited has principal offices in Paris, Houston, London and The Hague, and reported revenues of $27.81 billion in 2016.

About FIRST E&P

FIRST Exploration & Petroleum Development Company Limited (FIRST E&P) is a Nigerian oil and gas company that was established in 2011. It started formal business operations on the 1st of July, 2012. The company’s mission is to be a deeply technical, commercial and entrepreneurial organisation, with full delivery capability across the entire upstream oil and gas value chain. Our areas of expertise include the value creation phase of commercial deal delivery, maturation of exploration and appraisal opportunities, from field development, project execution and realising first production, on to the value monetisation phase of integrated operations and maintenance, hydrocarbon fiscalisation, and sales. Corporate governance and sound business principles represent part of our company's sustainable foundation.

About NNPC

The Nigerian National Petroleum Corporation (NNPC) is the state oil corporation which was established on April 1, 1977. In addition to its exploration activities, the Corporation was given powers and operational interests in refining, petrochemicals and products transportation as well as marketing. Between 1978 and 1989, NNPC constructed refineries in Warri, Kaduna and Port Harcourt and took over the 35,000-barrel Shell Refinery established in Port Harcourt in 1965.