The Nigerian National Petroleum (NNPC) has secured a $1.2bn multi-year drilling financing package for 36 offshore/onshore oil wells from a consortium of Nigerian and international lenders.

The package received under the NNPC/Chevron Nigeria joint venture (JV) is an integral part of the accelerated upstream financing programme initiated by the company.

According to NNPC, the programme is aimed at addressing the persistent challenges experienced by the federal government in providing its counterpart funding of JV upstream activities.

In two stages, the latest package will be channelled into the development of 23 onshore and 13 offshore wells on OML 49, 90 and 95 during 2015-18.

Consisting of 19 wells, stage one is expected to deliver 21,000 barrels of crude oil and condensate per day alongside 120,000 million standard cubic feet of gas per day (mmscf/d) over 2015 and 2016.

Expected to yield 20,000 barrels of crude oil and condensate per day, stage two comprises 17 wells and will also yield alongside gas production of 7mmscf/d, between 2016 and 2018.

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"Project Cheetah is projected to achieve a peak incremental production of 61 million barrels of oil equivalent per day."

Both stages are expected to contribute incremental revenue of $2 to $5bn to the country’s coffers.

NNPC group managing director Dr Ibe Kachikwu said: "I have always believed that issues of federation accounts must be left sacrosanct and not be toyed with. The Accelerated Upstream Financing Programme is designed to help us achieve this objective.”

Project Cheetah would be operated under the NNPC/CNL JV which is owned on a 60-40 basis, and is projected to achieve a peak incremental production of 61 million barrels of oil equivalent per day.

In a separate announcement, NNPC said it will revisit the fiscal terms of the existing production sharing contracts signed by the company with some international oil and gas companies to seek favorable benefits to Nigeria.

Image: The NNPC/Chevron JV deal was executed at a signing-ceremony in London. Photo: courtesy of Nigerian National Petroleum Corporation.