Total to complete EGINA project within initial $16b, sets local content records

  • The 330-metre long EGINA FPSO, being pulled from the Samsung Heavy Industries by tugboats on its way to Nigeria…on October 31
With progress at 88 per cent, and the Floating Production, Storage and Offloading (FPSO) unit already heading for Nigeria since October 31, 2017, Total Upstream Nigeria Ltd (TUPNI) says it will complete the Egina project in 2018 Q4, and within the initial $16 billion budget. Relatedly, Egina, being the first major deepwater development project launched post-Nigerian Oil and Gas Industry Content Development (NOGICD) Act 2010 enactment, has the highest level of local content in any such project in Nigeria, the company noted. Total Upstream Nigeria Ltd said that as the operator of the Egina project, it fully identifies with government aspirations for the Nigerian content. Therefore, it has been working closely with the Nigerian Content Development and Monitoring Board (NCDMB) and the Nigerian National Petroleum Corporation (NNPC) to maximise Nigerian content on the project. A statement by the External Relations Manager, Charles Ebereonwu, listed the Nigerian content key features of the project to include employment, with 24 million man-hours worked in Nigeria. (This is 77 per cent of total project workload, equivalent of a workforce of 3,000 persons on average over a period of five years. Others are the 60,000 tons of equipment to be fabricated in Nigeria, over 560,000 man-hours of human capacity development training across Egina contracts, construction of several large-scale new fabrication facilities in Nigeria and upgrade of several existing fabrication yards. According to the company, the Egina project includes pioneering Nigerian content achievements, such as the FPSO – a 330-metre long vessel designed to process oil and gas from the Egina field, which will berth at the quayside in Nigeria for integration of locally fabricated modules – a first for Nigeria. Also, Egina has the highest number of FPSO topside modules (six) to be fully fabricated and integrated in Nigeria, while the assembly of the FPSO’s Integrated Control and Safety System was fully performed in Nigeria. Egina also includes the fabrication of the largest subsea equipment (manifolds, risers) ever completed in Nigeria, far above what was achieved in previous projects and proof that large deepwater projects can be developed with high level in-country activities to attract employment, capacity building and develop industrial capability. It is the largest ongoing investment in the Nigerian oil and gas sector. Total Upstream Nigeria Limited (TUPNI) discovered the field in 2003 within the Oil Mining Licence 130 (OML130), some 200 kilometres south of Port Harcourt. The field is being developed by TUPNI, in partnership with NNPC, CNOOC, SAPETRO and PETROBRAS, and will add 200,000 barrels per day (approximately 10 per cent of the country’s total) to Nigeria’s oil production.

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