The Uquo Marginal Field, which was first discovered by Shell in 1958, lies within the OML 13 license area. It is located in Esit Eket and Eket Local Government Areas of Akwa Ibom State. Following its award to FOL in the 2003 Marginal Fields Program, the field has been transformed from a stranded partially appraised gas field in 1973 to the first commercial integrated gas development project in the South Eastern Niger-Delta.
Developed facilities on the Uquo Marginal Field include the 200mmscf/d Uquo central Gas Processing Facility (Trains 1 and 2), 4 gas wells, 2 oil wells (1 currently plugged), and more than 30km of flow lines and a crude oil pipeline to deliver export quality crude to ExxonMobil's Qua Iboe oil export terminal and two gas pipelines, owned and operated by Accugas, to deliver Uquo gas to two independent power plants in S.E. Nigeria.
In partnership with Seven Energy and its subsidiary, Accugas, FOL emerged as the first indigenous operator to develop the largest non-associated gas projects of its type in in Sub-Sahara Africa. The Uquo JV commenced test gas production in 2012 and commenced commercial supply of gas to the Ibom IPP in January 2014 while supply to Calabar Independent Power Project is expected to commence Q4 2014; helping increase Nigeria’s power generation by 750MW or mores.
FOL, as operators of the FUN JV, has effectively managed the Uquo oil assets in a phased manner to better manage the technical and financial risks associated with the development. The first phase has resulted in the testing and completion of the existing Well 3 as well as the successful completion of an agreement with MPN on a crude handling arrangement that will see oil evacuated via the Qua Iboe Terminal.
The second phase involves the slow and steady increase of crude oil production, supported by Environmental Impact Assessment activities including additional wells and surface production facilities to realise the full potentials of Uquo Field.