The Nigerian National Petroleum Corporation Limited (NNPCL) launched international sales of its latest crude oil grade, the Utapate crude oil blend, marking a significant milestone in Nigeria’s crude oil production and export efforts.
In a statement issued Wednesday in Abuja, the NNPCL’s Chief Corporate Communications Officer, Olufemi Soneye, highlighted the product’s debut at the Argus European Crude Conference in London, where it was presented to a packed audience of European crude oil marketers.
The Utapate crude oil blend, first introduced in July 2024 in collaboration with Sterling Oil Exploration and Energy Production Company Limited, is produced from the Utapate field in Oil Mining Lease (OML) 13, located in Akwa Ibom State.
The initial cargo, comprising 950,000 barrels, was shipped to Spain.
The new blend is characterized by a low sulfur content of 0.0655% and a reduced carbon footprint due to flare gas elimination, meeting stringent European market specifications.
Nicholas Foucart, Managing Director of NNPC E&P Limited, described the introduction of the Utapate crude oil blend as a landmark achievement.
“Since production began in May 2024, we’ve scaled up to 40,000 barrels per day with minimal downtime,” Foucart stated.
“We’ve exported five cargoes primarily to Spain and the U.S. East Coast, with two additional shipments planned for November and December 2024.
This represents a significant boost to Nigeria’s global crude oil export profile,” he continued.
Foucart further revealed that OML 13, operated by NEPL and Natural Oilfield Services Limited, boasts reserves of 330 million barrels of crude oil, 45 million barrels of condensate, and 3.5 trillion cubic feet of gas.
Production capacity is set to increase from 40,000 barrels per day to 50,000 by January 2025, and up to 80,000 barrels per day by the end of the year.
The Utapate terminal is noted for its compliance with environmental regulations, particularly in reducing carbon emissions.
The blend’s low sulfur content and efficient yield of high-value products have attracted strong interest from global refiners.
Lawal Sade, Managing Director of NNPC Trading Limited, emphasized the competitive pricing of the Utapate blend, likening it to the sought-after Amenam crude.
“Utapate is a light, sweet crude that delivers excellent value.
We aim to optimize benefits for producers and global trading partners,” Sade said.
The development of the Utapate field between 2013 and 2019 included transitioning operations from swamp and marine environments to land-based systems.
This launch comes less than a year after NNPCL introduced the Nembe crude oil grade from the OML 29 Joint Venture.
The entry of Utapate crude oil into the international market signals a promising future for Nigeria’s energy sector, as the NNPCL continues to expand its offerings while adhering to sustainability principles.
