• Overview
• OML 108

Overview

Since the company’s inception in May 2004, Shebah Exploration & Production Company Limited (SEPCOL) has rapidly driven its growth by acquiring oil assets and using its strong in-house technical and operational expertise to grow production in a cost effective manner. Asides developing business interests in other parts of the world, within Nigeria, SEPCOL:

• Has a 40% interest in OML 108

The company is expecting to produce 8 to 10,000 barrels per day by mid 2009 from its current portfolio of assets.

OML 108

Background & Field Description

OML 108 (formerly OPL 74) was awarded to Express Petroleum and Gas Company in December 1990. Express assigned 40% interest to Conoco Energy Nigeria Limited as technical advisor. Conoco relinquished its 40% stake in the block in 2004 and transferred it to Shebah Exploration & Production Company Limited.

OML 108 covers an area of 750km sq in water depth of 88ft(30m) in the western edge of the Niger Delta in shallow water offshore Nigeria, six miles south west of Chevron’s Meren field. The block is composed of oil producing Ukpokiti field, Kunza discovery and deeper pool prospects in the southern portion of the block. The Ukpokiti field comprising of 5 (five) oil wells and 2 injector wells, namely UKP 4R, 6R, 1R (oil wells in the red reservoir), 4B, 1B (oil wells in the blue reservoir) and injector wells 2 and 5.

Two exploration wells (Kunza-1 and Kunza-2) drilled in the Kunza discovery struck gas and condensate.

Production Facilities

The production facility is a FPSO produces and stores the crude oil from the field. The FPSO Independence was renamed FPSO Trinity Spirit. The FPSO has a processing capacity of 22,000 barrels per day and a storage capacity of 2 million barrels.

A well test loop is available with a 6 inches line; these networks have their own risers to connect the FPSO from the seabed that is 80ft under the sea level.

The crude processing facility consists of separators which handles a 3-stage separation of the crude. It also harbors an IWTS (Injection water treatment system) for produced water treatment used for reservoir pressure maintenance.

Production and Reserves

• Over 3,500 barrels/day for the year 2005 and 2006.

• Presently, maintaining a steady production of 2,500 barrels per day, with planned activities in place to increase the current production rate to 10,000 barrels per day by mid 2009.

• Summary of estimated remaining reserves, shows that the Red reservoir has an estimated remaining reserves 3.47 MMSTB, of which 90% is achievable by natural flow, the remaining 10% will require extra-lifting capacity.

• The Blue zone has estimated remaining reserves of 0.988MMSTB, of which 21% of these reserves will require artificial lift.