The early history (1908 – 1960) – The history of oil exploration in Nigeria dates back to 1908 when Nigerian Bitumen Company conducted exploratory work within the nation; nevertheless, the agency left the country at the onset of World Conflict I. Thereafter, license was given to D’Arcy Exploration Firm and Whitehall Petroleum. Nonetheless, each corporations didn’t find oil of economic worth and returned their oil And Gas Production licenses. In 1923 new license masking 357,000 sq. miles was given to a brand new agency called Shell D’arcy Petroleum Growth Firm of Nigeria. The new agency was a consortium of Shell and British Petroleum (then known as Anglo-Iranian). The company started exploratory work in 1937. The consortium was granted license to explore oil everywhere in the territory of Nigeria but in 1951 and then between 1955 and 1957, the acreage allotted to the company in the unique license was decreased. Drilling actions started in 1951 and the primary check properly was drilled in Owerri space. Shell-BP in the pursuit of commercially obtainable petroleum discovered oil in Oloibiri, Nigeria in 1956 and got here on stream producing 5,100 bpd. Production of crude oil started in 1957 and in 1960, a complete of 847,000 tonnes of crude oil was exported.

Major Dates in Early Historical past of Nigerian Oil and Gas Industry

1908: Nigerian Bitumen Co. & British Colonial Petroleum commenced operations round Okitipupa.

1938: Shell D’ Arcy granted Exploration license to prospect for oil all through Nigeria.

1955: Mobil Oil Corporation started operations in Nigeria.

1956: First successful well drilled at Oloibiri by Shell D’Arcy

1956: Changed title to Shell-BP Petroleum Growth Firm of Nigeria Limited.

1958: First shipment of oil from Nigeria.

1960: Different non-British companies have been granted license to discover for oil like Tenneco

The Mid History (1961 – 1990) – at this period, Nigeria was just understanding its newest grounds as an oil exporter and developing its export market. It was during this time that business exploitation of the country’s reserves started with the Nigerian Authorities introducing its first regulations governing the taxation of oil industry income during which the profits had been to be shared 50-50 between the government and the oil companies. By the later part of the 1960s, the Nigerian Authorities considered methods to make the most of the useful resource being exploited by the western countries to develop the country and with this thought formulated its first agreement for taking equity in one of the producing firms, the Nigerian Agip Oil Company, jointly owned by Agip of Italy and Phillips of the United States. The choice to take up an equity stake-in impact step one towards the creation of the NNPC-was not, however, exercised until April 1971. In 1970, the tip of the Biafran struggle coincided with the rise in the world oil worth, and Nigeria was capable of reap on the spot riches from its oil production.

Major Dates in Mid Historical past of Nigerian Oil and Gas Industry

1961: Shell’s Bonny Terminal was commissioned; Texaco Overseas began operations in Nigeria.

1962: Elf began operations in Nigeria. (As Safrap), Nigeria Agip Oil Company started operations in Nigeria

1963: Elf discovered Obagi discipline and Ubata fuel discipline, Gulf’s first production

1965: Agip discovered its first oil at Ebocha, Phillips Oil Company started operations in then Bendel State

1966: Elf began manufacturing in Rivers State with 12,000 b/d

1967: Phillips drilled its first effectively (Dry) at Osari -I, Phillips first oil discovery at Gilli-Gilli -I

1968: Mobil Producing Nigeria Restricted) was formed, Gulf’s Terminal at Escravos was commissioned

1970: Mobil began manufacturing from 4 wells at Idoho Discipline, Agip started production, Division of Petroleum Resources Inspectorate started.

1971: Shell’s Forcados Terminal Commissioned, Mobil’s terminal at Qua Iboe commissioned

1973: First Participation Agreement; Federal Government acquires 35% shares within the Oil Companies, Ashland began PSC with then NNOC (NNPC), Pan Ocean Corporation drilled its first discovery nicely at Ogharefe -I

1974: Second Participation Agreement, Federal Authorities will increase fairness to fifty five%, Elf formally modified its name from “Safrap”, Ashland’s first oil discovery at Ossu -I

1975: First Oil lifting from Brass Terminal by Agip, DPR upgraded to Ministry of Petroleum Resources

1976: MPE renamed Ministry of Petroleum Resources (MPR), Pan Ocean commenced manufacturing through Shell-BP’s pipeline at a rate of 10,800 b/d

1977: Government established Nigerian National Petroleum Corporation (NNPC) by Decree 33, (NNOC & MPR extinguished).

1979: Third Participation Agreement (throughout NNPC) will increase fairness to 60%, Fourth Participation Settlement; BP’s shareholding nationalized, leaving NNPC with eighty% fairness and Shell 20% in the joint Enterprise, Modified name to Shell Petroleum Development Company of Nigeria (SPDC)

1984: Settlement consolidating NNPC/Shel1 joint Enterprise.

1986: Signing of Memorandum of Understanding (MOU)

1988: Formation of 12 strategic enterprise models, masking the complete spectrum of oil industry operations: Nigerian Petroleum Development Company (NPDC), Nigerian Gasoline Company (NGC), Products and Pipelines Marketing Firm (PPMC), Built-in Data Companies Restricted (IDSL), Nationwide Engineering and Technical Company Restricted (NETCO),Hydrocarbon Services Nigeria Limited (HYSON), Warri Refinery and Petrochemical Co. Restricted (WRPC), Kaduna Refinery and Petrochemical Co. Restricted (KRPC), Port Harcourt Refining Co.

If you adored this short article and you would such as to obtain more facts regarding Texas kindly see the webpage.