YINKA FOLAWIYO PETROLEUM COMPANY LIMITED

In 1982,the Yinka Folawiyo Group moved into the energy industry with the aim of participating in active exploration of the nations natural resources especially Gas recovery and also to analyze re-injection schemes in order to minimize waste in the upstream sector.

However, the Federal Government’s decision to grant license to indigenous energy prospectors prompted the Group to establish Yinka Folawiyo Petroleum Company Limited to engage in a wide range of activities including oil exploration, exploitation and marketing.

Yinka Folawiyo Petroleum is now one of the leading, active indigenous privately-owned and managed oil companies in Nigeria. Oil Prospecting License (OPL) 309, convering a total area of 1699 Sq Km, was granted to the company in June 1992 as a Sole Risk Contract under the Nigerian Government’s Indigenous Allocation Programme. Located in the Dahomey Embayment of South-Western Nigeria, at the eastern end of the Cretaceous Benin Basin of West Africa, the offshore lease is some 25Km from shore and 25Km to the southeast of Seme filed, 14Km from WAGP and 65Km from Lagos, in water depths ranging from shoreline to 1900m.
Aje Fields is defined by high quality 3D seismic data and two wells- Aje#1 and Aje#2 were drilled in 1996 and 1997 respectively, from a surface location on 300 feet of water. Aje-1 discovery well encountered oil and gas reservoirs in commercial quantities flowing at an aggregate rate of 60.2 mm cf/d, 1729 b/d of condensate and 2,389 b/d of oil over three zones.

Aje-2 drilled in 1997 as an appraisal well and 1Km east of Aje-1, confirmed the reservoir and hydrocarbon accumulation discovered in the latter. The well flowed 16.5 mm cf/d, 450 b/d of condensate and 3,866 b/d of oil and it discovered further, a new deeper oil reservoir.

Consequently, the concession block was converted to OML 113 in June, 1998 with an initial term of 20-years.The OML 113 licence, located offshore in south-western Nigeria close to its border with Benin covers approximately 454,000 acres.

In August of 2005, Aje#3 vertical appraisal well was drilled in approximately 3000ft water depth, 4.5 Km south-west of Turonian & Cenomanian penetrations in Aje#1 & Aje#2. Though drilled to the top of Albian carbonates, the earlier discovered reservoirs were “shaled-out” with less than 10ft net pay sands in each reservoirs.

Due to the voluntary withdrawal of previous Technical Partners (CMI Group) coupled with the desire and commitment to fully realize the Company’s set goals & aspirations, the management in September 2007, entered into a Joint-Venture Partnership with Chevron Nigeria Deepwater H Limited, a subsidiary of Chevron Corporations as Technical Adviser. Other partners include Vitol Exploration, Energy Equity Resources and Providence Resources.

All necessary plans are in place to drill a delineation Aje#4 well in early 2008 with the new consortium of Partners to appraise horizons already discovered with Aje#1 & Aje#2 wells.