ADM Energy PLC (LON:ADME) told investors that the Aje field, in Nigeria, has now seen its fourteenth lifting of crude, marking the first sales since they were suspended at the onset of the pandemic.
Earlier this year, the Aje field’s operator decided to pause oil sales and store production in order to sell the barrels later at better prices. It meant that the scheduled March lifting was skipped.
Now, some 557,091 barrels of crude – of which ADM’s share amounts to 33,056 barrels – have been lifted.
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The company noted that proceeds from oil sales will be used to pay against the project debt and will significantly reduce the outstanding balance.
"Faced with market volatility earlier this year, we chose to take advantage of the large storage capacity onboard the FPSO and to defer oil sales from Aje,” Osamede Okhomina, ADM chief executive said in a statement.
“It is therefore very pleasing to have now completed the 14th lifting at a significantly higher price than would have been possible earlier in the year.”
He added: "We expect to further benefit in the coming months from rising production at Aje in H2 2020, increasing our stake in the asset as we conclude the EER transaction and a further improvement in the oil price forward curve."
The Aje field’s FPSO facilities have the capacity for some 750,000 barrels of storage capacity.