Dangote Hires Three Rigs to Develop 1.6bn Barrels Oil Assets
Emmanuel Addeh in Abuja West African Exploration and Production Company (WAEP), an upstream oil company majority owned by Nigerian businessman, Aliko Dangote, has contracted three jack-up rigs to commence a
West African Exploration and Production Company (WAEP), a Nigerian oil company majority-owned by Aliko Dangote, has enlisted three jack-up drilling rigs to develop two oil blocks containing over 1.6 billion barrels of oil in place. WAEP's Managing Director and CEO, Cecilia Ajayi, announced that drilling activities on oil mining leases (OMLs) 71 and 72 would commence in December.
The company aims to boost production and install gas monetization infrastructure within the next 24 months. WAEP acquired a 45% working interest in the two assets in 2015, with the Nigerian National Petroleum Company Limited (NNPC) owning the remaining 55%. The blocks are located near the Bonny terminal, approximately 22 kilometers offshore.
Production from the assets restarted in December 2025, with an initial output of around 4,500 barrels per day from the Kalaekule field on OML 72. Ajayi revealed that the company is pursuing a phased redevelopment strategy to secure immediate production gains and generate cash flow for reinvestment. Six field development plan studies are currently underway to support the redevelopment of the assets.
Dangote Petroleum Refinery and Petrochemicals, owned by WAEP's primary shareholder, ensures a domestic market for the crude oil produced. The company also aims to develop a crude evacuation terminal that could benefit other producers, with plans to achieve sustained production growth over the next two years while implementing gas monetization infrastructure.
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