(Ecofin Agency) - West-Africa focused Eland Oil and Gas in its operational update for the six months ended 30 June 2017, announced that production from one of its Nigerian licences has reached the highest level it attained 40 years ago.

According to the company, OML 40 had been producing at an average rate of over 11,400 barrels of oil per day (bopd) gross, since pipeline exports to the Forcados terminal resumed on May 24, 2017. It said more than 600,000 barrels of oil have been pumped to Forcados from the field since May and a total of 225,000 barrels of crude have been lifted from Forcados, with funds of about $9.9million expected to be received by the company, next week.

Eland, however, hopes to increase production from OML 40 in the near term with the sidetrack of the Opuama-7 well in August.

“As we enter the second half of 2017, we are fully funded for the drilling of Opuama-7 and the additional well we have the option for, under the rig contract, with Opuama-7 alone due to increase current production by 50% this quarter. We intend to use the resulting increase in cash flows to fund the further development of our asset base in the Niger Delta and I am hugely excited by the momentum currently being created within the business,” said George Maxwell, Eland’s chief executive.

Anita Fatunji