The Stranded Asset Turnaround

OilNational acquired a dormant 15,000 bpd Nigerian field deemed uneconomical due to security risks. We deployed specialized security, upgraded flow stations, and engaged local communities, restarting production within 14 months to deliver immediate cash flow to partners.

Challenge

The asset had been shut in for three years due to rampant pipeline vandalism, illegal bunkering, and a total breakdown of trust with local host communities. Previous international operators had failed to secure the site or negotiate stable access agreements, leaving the infrastructure to corrode and the surrounding villages in economic distress. The risk of further sabotage was deemed too high for traditional insurers to cover.

Solution

OilNational established a joint-venture security framework directly with local stakeholders, replacing vulnerable above-ground pipelines with buried, fiber-optic monitored lines that trigger instant alerts upon disturbance. Simultaneously, we launched a rigorous local content hiring program, employing 80% of the workforce from surrounding villages and contracting local firms for logistics. This secured our social license to operate, reduced downtime by 95%, and transformed former adversaries into active guardians of the asset.