The Department of Petroleum Resources (DPR) says it has handed over marginal fields to 80 oil firms after successful bidding.

The award letters were presented to the operators in Abuja on Monday by Auwalu Sarki, DPR’s Director/Chief Operating Officer.

A marginal field is an oil field that has been discovered and left unattended for not less than 10 years from the date of its first discovery.

Mr Sarki explained that the 57 marginal fields to be explored by the operators were located on land, swamp, and offshore terrains in various parts of the country.

He noted that the awarded companies met all the conditions for the award out of the 161 that were shortlisted.

“A total of 591 expression of interest applications were submitted; out of these applications, 540 were successfully prequalified during phase one of the exercise.

“At the end of the phase, 2,482 bids were submitted by 405 applicants. Following the evaluation of the bids, 161 companies were shortlisted as potential awardees, out of which 50 per cent have met all conditions and therefore eligible for an award today,” Mr Sarki explained.

According to the DPR boss, the award marks the end of the bid round process, which started on June 1, 2020. It also marks the beginning of the post-award phase, which is important.

Mr Sarki noted that DPR had established a ‘National Oil and Gas Business Opportunity Desk.’

“This desk synthesises opportunity across the value chain of the industry and creates a platform for investors, financiers, funders, and other intending partners to realise desired objectives,” said Mr Sarki.

Bank-Anthony Okoroafor, the Executive Chairman, Vhelbherg Exploration and Production Development Company Ltd., one of the companies that secured the licence, said, “This is the first most transparent exercise carried out by the DPR since 2003; it was open to everybody, and there were publications.

“The job is not completed, and for the DPR to complete their work, it has to assist operators to produce in their various locations and ensure we are not suffocated.”

Timbu Ayinde, the Chief Operating Officer, Dutchess Energy Ltd., another awardee, said they looked forward to a successful business.

“It is a fantastic opportunity for me in the sector as I have been in the downstream, and this is an opportunity for me to go into the upstream. We are going to increase crude oil production for Nigeria.”

(NAN)