Breaking New Ground

How NNPC/Heirs Energies doubled gas output, boosted power to 350MW and set a new benchmark for innovation in Nigeria’s upstream

By Silverline Ifeanyi Onyeabor

Nigeria’s journey toward energy sufficiency and reliable electricity supply entered a groundbreaking new phase this week as the NNPC/Heirs Energies Joint Venture (JV) operating Oil Mining Lease (OML) 17 announced a major production milestone that has doubled the asset’s gas output to 135 million standard cubic feet per day (MMscf/d). The achievement, made possible through a pioneering rigless recompletion of a key gas well, the first of its kind in Nigeria, marks a decisive step in strengthening domestic gas infrastructure and powering the country’s industrial resurgence.

The success delivers immediate and tangible benefits to Nigeria’s electricity sector: power generation across the eastern network has surged dramatically, with TransAfam Power, owned by Transcorp PLC, increasing output from roughly 50 megawatts to more than 180 megawatts, with peaks of 200 megawatts. Other generating plants supported by the pipeline network, including First Independent Power Limited (FIPL) and Geometric Power, have recorded higher and more stable electricity dispatch. In total, power plants supplied by the JV have expanded combined generation from about 100 MW to well over 350 MW, enough energy to keep factories running, light hundreds of thousands of households, sustain hospitals, secure telecommunications infrastructure, and drive economic activity across several states.

This achievement comes at a critical time for Nigeria, when the power deficit continues to constrain business productivity, drive manufacturing costs, undermine healthcare services, limit digital infrastructure, and place heavy pressure on households and small businesses. With national grid output often struggling below 4,000 MW in a country of more than 200 million people, localised gas-fed generation solutions such as this represent a lifeline for the economy and a blueprint for the future.

As highlighted in the official announcement, what makes this development historic is not only the increase in production volume, but how it was achieved. Rather than drill a new well or conduct a conventional heavy workover, both time-consuming and extremely capital-intensive, the JV deployed a rigless through-tubing recompletion, accessing an untapped reservoir interval and restoring production capacity at just 15% of the cost and in record time. The innovation avoided months of downtime, prevented major surface disruption, and demonstrated the strength of local engineering capability.

Innovation, Efficiency & Technical Breakthrough: A New Benchmark for Nigeria’s Upstream
The well in question had previously been shut-in due to technical constraints, primarily excessive water production. In many operations, this would have meant abandonment or years of complex, costly intervention. Instead, Heirs Energies’ technical team engineered a rigless solution that has now rewritten industry expectations for brownfield optimisation.

The success underscores a powerful lesson for Nigeria’s upstream sector: significant production gains are not limited to greenfield exploration or multi-billion-dollar new wells. With smart engineering, technology, and execution discipline, brownfields can be transformed into high-performing, value-creating assets.

Commenting on the outcome, Udy Ntia, Executive Vice President, Upstream at NNPC Ltd, stated:
“This innovative intervention demonstrates NNPC’s strong commitment to unlocking the nation’s gas resources in support of national development. The performance of the NNPC/Heirs Energies OML 17 Joint Venture shows the power of partnership, disciplined execution, and innovation in driving substantial value for Nigeria.”

His remarks capture the strategic importance of gas in Nigeria’s national development agenda. With gas reserves exceeding 206 trillion cubic feet, among the largest in the world, Nigeria has long struggled to convert its resource wealth into consistent economic benefit due to underdeveloped infrastructure, vandalism, low investment, and fragmented policy frameworks. The OML 17 success signals that innovation and partnership can significantly accelerate progress.

Also speaking on the achievement, Engr. Seyi Omotowa, Chief Upstream Investment Officer at the Nigerian Upstream Investment Management Services (NUIMS), emphasised:
“This project reflects NUIMS’ strategic focus on safe, efficient, and value-driven upstream operations. It is a model for the type of innovative solutions required to optimise Nigeria’s hydrocarbon assets.”

Gas to Power: A Direct Boost for Electricity Stability
Perhaps the most transformative outcome from the OML 17 increase is its immediate impact on power supply. Unlike many large-scale infrastructure projects with long lead times, this intervention has already translated into measurable socio-economic improvement.

Key impact highlights:
Before Intervention
After Intervention

100 MW total power from supported plants
Over 350 MW combined output

TransAfam averages 50 MW
Over 180–200 MW

Unstable generation
Improved reliability

Limited support to communities
Power for hundreds of thousands of homes & businesses

Industries across the eastern industrial corridor, including Aba, Port Harcourt, Owerri, Onitsha, Nnewi, Yenagoa, and Uyo, are among the beneficiaries. The region hosts one of the largest concentrations of manufacturing and SME activity in West Africa, making improved power supply a catalyst for job growth, industrial competitiveness, and energy-driven economic recovery.

The impact extends beyond industry. More stable power strengthens:
* Digital economy and telecom operations
* Hospital and emergency response capability
* Water supply, cold chain & food storage systems
* Banking and financial services operations
* Education technology accessibility
* Local security and street-lighting infrastructure
In a nation where businesses spend an estimated $14 billion annually on diesel generators, every incremental megawatt delivered via gas translates to real cost savings, reduced emissions, and improved quality of life.

National Recognition and Presidential Support
The achievement has already triggered high-level acknowledgement. In a congratulatory letter, Mrs. Olu Verheijen, Special Adviser to the President on Energy, commended the ingenuity behind the intervention:

“I congratulate the entire Heirs Energies team on this remarkable achievement, which is a testament to the strength of Nigerian engineering expertise and the value of persistent technical innovation.”

She further added:
“Please be assured of my continued support as you expand your operations across the energy sector, unlocking additional oil and gas resources to power homes, industries and commercial activities nationwide.”

Her remarks underscore the alignment between national development priorities and private sector execution capability. As Nigeria deepens reforms in gas commercialisation, subsidy rationalisation, and power market stabilisation, successful private-public collaboration becomes essential.

Heirs Energies: Leading Indigenous Innovation in Brownfield Development
For Heirs Energies, the milestone reinforces the company’s strategic model as Africa’s leading indigenous-owned integrated energy company. Since acquiring OML 17 in January 2021 in a landmark $1.1 billion transaction, the company has prioritised production optimisation, local capacity development, operational excellence, and gas monetisation.
Speaking at the announcement, Osa Igiehon, Chief Executive Officer, Heirs Energies, said:
“This milestone is another testament to Heirs Energies’ leading capabilities in managing brownfields. The ingenuity, thoroughness, and resilience of our 100% Nigerian workforce made this possible. We remain committed to supporting Nigeria’s gas-to-power agenda through innovation-led, responsible, and performance-driven upstream operations.”
Heirs Energies’ model represents a shift from dependency to domestic value creation. At a time when global financial institutions are reducing funding for fossil-fuel projects, particularly greenfield developments, brownfield optimisation offers a cost-effective pathway to production growth.
The OML 17 intervention highlights three competitive advantages:

Technical innovation instead of capital-heavy drilling: The rigless approach demonstrates that innovation can drastically reduce operational costs.

Local content leadership: 100% Nigerian technical delivery strengthens skills transfer and engineering independence.

Sustainable development: Gas expansion supports national climate commitments by displacing diesel use.

The company’s success aligns with the national petroleum agenda, which seeks to transform the sector from a revenue-remittance model into an active industrial enabler.

OML 17: Strategic Asset Positioned for Growth
Located in Rivers State and covering roughly 1,300 square kilometres, OML 17 is one of Nigeria’s most strategically important assets. Historically developed by Shell, Total and ENI before being handed to Heirs Energies and NNPC Limited, the asset holds significant reserves and development opportunities.
Since the takeover, the JV has restored production efficiency, improved community relations, and invested heavily in security and operational stability. With the latest intervention, the asset is positioned for:
* Additional brownfield production uplift
* Infrastructure expansion and pipeline reliability improvements
* Greater contribution to Nigeria’s domestic gas supply commitments
* Support for long-term electricity market expansion
* Increased export capacity via LNG partnerships
The JV is already exploring further well intervention campaigns based on the success of this milestone.

Aligning with National Strategy: Gas as Nigeria’s Industrial Engine
The OML 17 achievement supports Nigeria’s ongoing transition toward gas-driven growth. Under the Decade of Gas plan, Nigeria aims to:
* Expand domestic gas utilisation
* Improve industrial competitiveness
* Create gas corridors for electricity and manufacturing
* Promote CNG and LPG adoption for transport and cooking
* Reduce carbon emissions through cleaner energy fuels
* Expand gas exports to regional and European markets

NNPC Limited has repeatedly signalled that gas is the country’s strategic response to global energy transition trends and growing industrial energy needs. The OML 17 milestone directly reinforces this policy trajectory.

The success also aligns with global perspectives. As energy strategist Temitope Adegun notes:

“The future of Nigerian energy is gas-powered. This achievement proves that domestic companies can deliver the innovation and execution needed to unlock Africa’s hydrocarbon capacity.”

Implications for the Power Sector and Economy
Strengthened energy security: 350 MW of additional power reduces blackout frequency and strengthens grid stability.

Economic productivity: Better power supply reduces generator dependency and improves manufacturing output.

Job creation: Energy-driven economic growth supports thousands of direct and indirect jobs.
Lower emissions: Gas-fired power generation emits 60% less carbon than diesel.
Investment confidence: Demonstrates that Nigeria is capable of engineering and project excellence.
Market proof for brownfield optimisation: Encourages replication across other assets nationwide.

A Model for the Future: Lessons and Opportunities
The OML 17 breakthrough illustrates that Nigeria’s energy sector does not lack potential but rather execution focus. It demonstrates:
n Strong alignment between business ambition and national energy goals
* The value of technical creativity over dependence on heavy equipment
* The power of collaboration between government agencies and private operators
* The catalytic effect of gas on economic value creation

If replicated across even a fraction of Nigeria’s underperforming wells, the country could unlock billions of dollars in value and significantly strengthen its energy supply chain.

Looking ahead, the NNPC/Heirs Energies OML 17 breakthrough is more than a production statistic; it is a demonstration of what is possible when innovation, strong partnerships, and national mandate converge. It strengthens electricity supply, boosts productivity, expands energy access, and reinforces public confidence in Nigeria’s ability to deliver world-class upstream solutions.

This milestone represents a bold step toward a future in which Nigeria does not merely export hydrocarbons but converts domestic resources into national value, industrial growth, and energy-powered prosperity. The achievement stands as a clear signal: Nigeria’s gas revolution is accelerating, and the country’s energy transformation is no longer a vision, but a reality in motion.

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