by Rachel Ogbu

Lagos state is believed to have found oil.

According to reports, Afren Plc and its partner, Lekoil Limited, announced significant oil discovery offshore Dahomey Basin in Lagos, according to the London Stock Exchange.

Still awaiting authentication from the Department of Petroleum Resources (DPR), but if verified, then Lagos will become the 11th oil producing state in Nigeria, a club Anambra State joined recently.

It will also increase the Lagos economy, which reportedly generates about N29 billion internally monthly.

The Vanguard reports:

In separate announcements, the partners said they discovered a significant light oil accumulation based on the results of drilling and wire line logs from a high impact Ogo-1 well, located on the Oil Prospecting Licence, OPL 310 offshore Nigeria.

Afren is optimistic that the discovery is likely to be significantly higher than the anticipated 78 million barrels of oil equivalent (mmboe), which encourages search to further high potential zones.

The other oil producing states are Akwa Ibom, Bayelsa, Rivers, Delta, Ondo, Abia, Imo, Edo and Cross River.

Geological studies indicate that the Dahomey Basin is a combination of inland/coastal/offshore basin that cuts across some West African countries including Lagos, Nigeria as well as Southeastern Ghana, Togo and the Republic of Benin.

The basin is said to be separated from the Niger Delta by a surface basement popularly called the Okitipupa Ridge.

“The Ogo-1 well has been drilled to a total measured depth of 10,518 ft (10,402 ft true vertical depth sub sea), and has encountered a gross hydrocarbon section of 524 ft, with 216 ft of net stacked pay.

“The well was targeting 78 mmboe of gross P50 prospective resources, but based on evidence to date, targeted resources are likely to be significantly in excess of previous estimates,” Afren said in a statement made available to Vanguard