Mobil's Oso NGL Project In Nigeria Begins Production

20 August 1998

Mobil's Oso NGL Project In Nigeria Begins Production

    FAIRFAX, Va.--Aug. 20, 1998--Mobil Corp. confirmed Thursday the start of production of natural gas liquids (NGLs) from its Oso NGL project in Nigeria.
    The first cargo of products is scheduled for export this month. Production, which is currently running at 30,000 barrels a day, is expected to reach an anticipated peak rate of 50,000 barrels per day over the next few weeks. Mobil holds a 51 percent interest in the joint venture project, with the Nigerian National Petroleum Corp. (NNPC) holding the remaining 49 percent.
    Feed gas for the NGL plant comes from the Oso condensate field and other associated gas production. The Oso condensate field began production in 1992 and produces 110,000 barrels per day. The Oso NGL project is expected to recover 350 million barrels of NGL over its life without any impact on condensate production.
    "This is a significant development for Mobil's business in Nigeria, enabling us to continue towards our goal of profitably growing production, even in the present low crude price environment", said M. W. Scoggins, president, International Exploration and Producing, Mobil Corp. "The Oso NGL project will make an important contribution to the monetization of Mobil's large gas resources in Nigeria."
    The Oso NGL project involves two principal locations, the offshore site at the Oso field and the onshore site at the Bonny River Terminal (BRT).
    Mobil is one of the leading international oil companies operating in Nigeria. In addition to the Oso NGL project, Mobil has a 40 percent interest in a joint venture with NNPC, on behalf of which it operates five offshore leases. Mobil also has a 50 percent interest in, and operates, two deepwater blocks under production sharing contracts, covering over one million acres.