Heirs Energies doubles oil production – Official

Heirs Energies, Africa’s leading integrated energy company, said it had doubled its oil production in 100 days, from 27,000 barrels to 52,000 per day.

The Chief Executive Officer of Heirs Energies, Osa Igiehon, disclosed this in an interview with Financial Times, highlighting the company’s contributions to Nigeria’s energy sector despite the challenging operating environment.

“We took over operational control from the previous operator in July of 2021 we essentially doubled our oil production in 100 days, from 27,000 barrels to 52,000 barrels of oil per day. But we noticed very quickly that whilst we were trying to ramp up production, what was getting to the terminal was declining,” Mr Igiehon said.

He explained that a global push for energy transition has made financing for oil and gas more challenging.

Founded in 2021, Heirs Energies operates an Oil Mining License (OML17) with a mission to ensure that Nigerian businesses and consumers derive direct benefit from the country’s natural resources.

Mr Igiehon noted that the company manages 5 per cent of Nigeria’s oil production and a similar share of domestic gas production.

“We operate about five per cent of Nigeria’s oil production and roughly about another five per cent of Nigeria’s gas production into the domestic market. Whilst we hear the global narrative of energy transition, which talks about moving from predominantly one source of energy through other sources of energy,” he added.

According to him, the recent trend of international oil companies exiting onshore operations in Nigeria created opportunities for indigenous firms like Heirs Energies to fill the void.

He further explained that Africapitalism positions the private sector at the forefront of investments to improve lives and drive economic prosperity and social progress.

Mr Igiehon emphasised that oil theft is a major challenge to Nigeria’s energy sector developments.

“The country should be in the position to produce two to 2.5 million barrels per day. Today, we are only able to produce somewhere in the range of 1.2 to 1.5 million barrels over a day. There are a number of causative factors, but the biggest is theft.

“The second challenge is then the point of investment because of the theft, it has created a scenario where there has been a stifling of investment in the sector,” he said.

However, he highlighted that the country has improved in the fight against theft compared to previous years.

“In December of 2021, we only got three per cent of our production at the terminal. Today, we now get an average of 85 per cent of our production. So, lots of appreciation to the government for the steps and very decisive steps they have taken and sustained to secure the pipelines,” he said.