Aiteo Eastern Exploration and Production Company (AEEPCO), the operator of the NNPC/Aiteo Joint Venture, has resumed oil production at Oil Mining License (OML 29) in Nembe Swamp Field, Bayelsa State, following a temporary shutdown caused by an oil leak.
The facility, which had been shut down as a precautionary measure, was reopened after a joint investigative visit by regulatory bodies, local communities, and other stakeholders. Aiteo’s Group Managing Director, Victor Okoronkwo, confirmed the development, stating that operations resumed after a comprehensive evaluation of the company’s infrastructure and safety protocols.
Enhanced Safety Measures
“Our dedicated team has worked diligently to address the issues caused by the recent incident and implemented enhanced safety protocols to prevent future occurrences,” Okoronkwo said. “We have engaged with regulatory bodies, local communities, and stakeholders to ensure transparency and accountability throughout this process.”
Aiteo had earlier deployed its Oil Spill and Emergency Response Team to contain the leak and conduct a detailed assessment. While production has resumed, the company continues to implement statutory spill management protocols in compliance with regulatory requirements.
Challenges with Nembe Creek Trunkline
Despite its ownership of the 97-kilometre Nembe Creek Trunkline (NCTL)—a key oil transportation pipeline that previously fed the Bonny Oil Export Terminal in Rivers State—Aiteo has abandoned the export line due to persistent vandalism. The pipeline, originally designed to evacuate 180,000 barrels of crude daily, has been a target of oil theft and sabotage.
As an alternative, Aiteo now relies on barges to transport crude from its onshore wells to a Floating Production Storage and Offloading (FPSO) vessel, from where the Nembe Crude blend is exported to international crude tankers in the Atlantic Ocean.
Aiteo’s Growing Influence in Nigeria’s Oil Sector
Since acquiring OML 29 from Shell in 2015, Aiteo has emerged as a major player in Nigeria’s upstream oil industry, navigating significant operational challenges while strengthening its position as a key indigenous oil producer. The latest resumption of production underscores the company’s resilience and commitment to sustainable oil exploration, despite the ongoing risks posed by pipeline vandalism.
