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Eland Oil & Gas: Oil expected soon from idled Nigerian field

ABERDEEN, Scotland, Jan. 6 (UPI) -- Eland Oil & Gas says it expects to start production at a field in Oil Mining Lease 40 in Nigeria using a facility that was shut down for several years.

Eland, which has headquarters in Scotland, said Monday it rebuilt a flow station tied to the inland Opuama field and expects to start testing a section of an export pipeline in the OML 40 license area.

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"We expect commencement of production shortly following the successful completion of pre-commissioning and testing," the company said in a statement.

The production facility tied to the Opuama field was closed for more than seven years because of the poor shape of the infrastructure, the company said.

Eland is working alongside Nigerian Petroleum Development Co. to restart production at the six wells in the Opuama field.

The company estimates the field contains 54.2 million barrels of oil. No production target was disclosed.

Banditry and rebel campaigns in the Niger Delta have resulted in a loss of oil revenue for the Nigerian government.

The Organization of Petroleum Exporting Countries said member state Nigeria produced 1.67 million barrels of oil per day in November, down 4.8 percent from the previous month.

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