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Nigerian buy-in: a gas flare in the volatile Niger Delta where OPL 205 lies

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Indian pair eye Nigerian stake

State-run Indian Oil Corporation (IOC) and Oil India Limited (OIL) are set to jointly purchase a 50% equity stake in Suntera Nigeria OPL 205 with an investment of over $60 million, Indian media reported today.

IOC and OIL will each hold a 25% share in the company, the Economic Times newspaper said.

Suntera Nigeria OPL 205 is a subsidiary of Suntera Resources and holds a 70% interest in onshore oil prospecting licence 205 in the northern part of the Niger Delta.

Together, IOC and OIL will have a 35% share in the oilfield.

The IOC board is expected to clear the investment today, the report added.

OPL 205 was fisrt granted to Nigeria’s Summit Oil in 1990 and the first exploration well was drilled in 1992.

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