Nnpc signs mou with savannah petroleum for oil exploration

Here's a summary of the news:

NNPC Signs MoU with Savannah Petroleum for Oil Exploration

The Nigerian National Petroleum Corporation (NNPC) has signed a Memorandum of Understanding (MoU) with Savannah Petroleum, a UK-based independent oil and gas company, for the exploration of oil and gas in Nigeria.

Key Details:

• The MoU is for the exploration of oil and gas in the Kolmani River Area of the Upper Benue Trough, which is located in the north-eastern part of Nigeria.
• The agreement is for a period of three years, with an option to extend for another two years.
• Savannah Petroleum will be responsible for the exploration and appraisal of the Kolmani River Area, while NNPC will provide technical and logistical support.
• The MoU is expected to create jobs and stimulate economic growth in the region.

Background:

• The Kolmani River Area is believed to have significant oil and gas reserves, with estimates suggesting that it could hold up to 1.2 billion barrels of oil and 1.5 trillion cubic feet of gas.
• The area has been identified as a priority for exploration and development by the Nigerian government, which is seeking to increase its oil and gas production to meet growing domestic demand and reduce its reliance on imports.

Impact:

• The MoU is expected to boost Nigeria's oil and gas production, which has been declining in recent years due to natural decline and lack of investment in new fields.
• The agreement could also attract more foreign investment to the Nigerian oil and gas sector, which has been plagued by corruption and insecurity in the past.
• The project is expected to create jobs and stimulate economic growth in the region, which could have a positive impact on the local community.

Overall, the MoU between NNPC and Savannah Petroleum is a significant development for the Nigerian oil and gas sector, and could have a positive impact on the country's economy and energy security.