World Report

Emmanuel Egbogah
Executive Chairman of Emerald Energy

‘Getting finance has not been as difficult for us as for other indigenous companies’

INTERVIEW

igerian independent oil company Emerald Energy Resources is on the verge of great things, aiming to achieve first production from its OPL 229 block as soon as possible.

Founded in 1997, the company was awarded a 55 per cent operating interest in the concession five years ago, alongside partner Amni International, another Nigerian oil player. Some key milestones have already been achieved, including last December, when the two firms sunk their first well in the block.

Since taking on its OPL 229 concession the company has conducted extensive geological, geophysical and other studies to assess its potential. This has led to the identification of 11 prospective oil fields on the site with an estimated reserve base totaling more than 2 billion barrels of oil – impressive even by Nigerian standards. Further testing work is now to be undertaken on the well, while more data acquisition is also planned in an initial $75 million exploration strategy.

Executive Chairman Emmanuel Egbogah (INTERVIEW) believes Emerald Energy has the potential to add as much as 100,000 barrels per day to the country’s oil production. “This is a young and dynamic company which operates with a highly skilled, multi-disciplinary team to achieve optimum field development and project economics,” he says.
The company has no lack of long-term ambition and is involved in a programme called Integrated Natural Gas Development for Nigeria, which proposes a multi-stream petrochemical plant that would take gas and produce various kinds of liquids from ethanol to high level chemicals. “By 2015, we are targeting the creation of a massive plant that would carry out various petrochemical activities and would gulp about $3 billion (£1.67million).”

Talks are underway with Chinese investors to fund as much as 100 per cent of the project cost. Like many other Nigerian firms, the difficulty Emerald Energy faces is the need for capital, although Mr Egbogah adds: “Getting financing has not been as difficult for us as it has been for other indigenous companies. People put their money on my name.”

Emerald Energy’s investors now come from as far away as Hong Kong, and there are talks in play with various Australian backers. The company is also keen to open dialogue with UK firms.