Shell Nigeria Exploration and Production Company (SNEPCo) is seeking contractors for the development of the $10bn Bonga South West Aparo (BSWA) oil and gas field offshore Nigeria.
Regarding this, the company has released the invitation to tender (ITT) for engineering, procurement and construction contracts for the 150,000bbl/d BSWA project in the Gulf of Guinea.
The initial phase of the BSWA project will include the construction of a new floating, production, storage and offloading (FPSO) vessel, more than 20 deepwater wells and provision of associated subsea infrastructure.
The BSWA field lies across Oil Mining Lease (OML) 118 and extends into OMLs 132 and 140 operated by Chevron.
SNEPCo managing director Bayo Ojulari said: “This is a new vista for deep offshore oil and gas exploration in Nigeria based on a revised commercial framework embraced by government and the project investors.”
Prior to releasing the tender, the Nigeria National Petroleum Corporation (NNPC), SNEPCo and its Unit partners executed the heads of terms revising the terms of the OML 118 Production Sharing Contract.
Ojulari said: “SNEPCo has concluded OML 118 negotiations with the NNPC. We now have a clear commercial framework, supported by the government and project investors, toward a potential Bonga South West Aparo Final Investment Decision (FID).”
BSWA is expected to carry a peak production of 225,000 barrels of oil a day by 2022.
The capacity of the vessel was recently upgraded, which allowed SNEPCo to expand the field with further drilling of wells in Bonga Phases 2 and 3, as well as through a subsea tie-back unlocking the nearby Bonga North West field.
OML 118 is operated by SNEPCo under a production sharing contract with NNPC. Other partners are Total E & P Nigerian, Nigerian Agip Exploration and Esso Exploration and Production Nigeria.