NPA’s position on Egina FPSO vessel throws project into uncertainty

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There are palpable fears that the decision of the Nigerian Ports Authority (NPA) to bar the much-expected Egina Floating Production Storage Offloading (FPSO) vessel from Nigerian waterways may jeopardise the multi billion-dollar oil project, The Guardian reports.

The Egina FPSO which had left South Korea since October 31 last year, is on its journey to Lagos, Nigeria for further integration of its six topsides at Tarkwa Bay, Lagos. The vessel, expected to sail for three months is inching closer to Nigeria and may arrive any moment from now. NPA has threatened that it would not be allowed into Nigerian waters unless the parties complied with its towage laws.

This development is posing a danger to the multi-million dollar equipment and services that are already awaiting the arrival of the vessel. It also poses a setback to the Nigerian content and local capacity development agenda of the Federal Government, while confidence will also be eroded. It was however gathered that the operator of the Egina oil field, Total and its FPSO contractors, LADOL/Samsung have commenced negotiations and are lobbying the government over the matter.