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Excitement rages in oil industry as Egina FPSO arrives this month

Feelers from Samsung Facility in South Korea have shown that all is set for homeward journey of the new Egina FPSO fabricated for the advancement of deep-sea exploration activities in Nigeria.

Samsung Heavy Industries of Korea recently said it had achieved over 95 per cent completion of the fabrication of the modules for the Egina FPSO facility to be deployed in the Egina oil field, which is being developed by Total Upstream Nigeria Limited.

Currently, six modules of the Total Egina FPSO had been successfully fabricated in the country ahead of the arrival this month.

Already, stakeholders in the Nigerian oil and gas industry are awaiting the integration of the Egina Floating Production Storage Offloading (FPSO) facility in the country as the project is being expected.

The Egina deepwater oil field is expected to achieve first oil in the fourth quarter of 2018, with a capacity to increase the nation’s oil production by 200,000 barrels per day.

As part of new development, the Nigerian Content Development and Monitoring Board has said it will collaborate with ancillary agencies to facilitate the integration of the FPSO units in Nigeria.

The Egina FPSO is expected to sail away from SHI’s Goeje Shipyard in South Korea to Nigeria from this month of September.

Delivery details show that the capital expenditure for the six packages in the Egina oilfield development is $16bn, out of which $3.3bn was earmarked for building the FPSO.

Business Hilights recalls that Total awarded the contract to SHI in 2014 after the Korean firm emerged the winner, following a tendering process.

The FPSO is scheduled to arrive the SHI-MCI yard in Lagos this year, where the six modules fabricated in-country will be integrated, with 21,400 pre-inauguration tasks expected to be performed.

Executive Secretary, NCDMB, Mr. Simbi Wabote, said, “The Nigerian oil and gas industry needs more projects to build capacity and keep existing facilities from wasting.

“We are happy with the progress of the project and its contribution to local content and the national economy. The FPSOs have been built abroad in the past and moved straight to site. This is the first time that many Nigerians will see what it looks like.”

Elated Managing Director and Chief Executive Officer of Total Upstream Companies in Nigeria, Mr. Nicolas Terraz, said the Total Group had invested over $10bn in the Nigerian oil and gas sector in the last five years.

According to him, “With expertise and strong position in the onshore, offshore and deep water, our Egina field development, which is nearly completed, is expected to add 200,000 barrels per day to Nigeria’s output when it comes on stream in 2018”.