Recently launched Kariya Energy intends to sign up marginal fields in West Africa, the company’s director Gerd Nji has said.
Kariya’s employees have experience of working in Africa and the Gulf of Mexico, he said. The company will use enhanced oil recovery (EOR) techniques on marginal or mature fields.
“Our lawyers in Canada and Africa have recently completed the legal due diligence on marginal fields currently in operation in Nigeria and Congo. Technical work has been done by teams in Houston; we are therefore happy to proceed with final investment decisions,” Nji told Energy Voice by email.
The Kariya plan also has scope for small-scale LNG, he said, which will provide gas for local markets.
“We are looking at receiving terminal projects in Ghana and might consider South Africa depending on the bankability of our projects and approvals from our private equity funders,” Nji said. LNG projects are expensive, he said, but small-scale plans are relatively cheap.
Small-scale LNG can provide off-grid power.
“We trust the ability of our firm’s commercial models to make these ventures work, but we also acknowledge the risk as well. We are lucky to get commitments on the funding infrastructure side from pensions as they are looking for stable revenues,” he said.
A statement from the company said employees had experience in Mozambique, Nigeria, Senegal, Congo Kinshasa, Congo Brazzaville and Gabon.
Kariya is considering a number of options, including farm-ins, risk service contracts or direct negotiations with governments.