Four oil wells for production in Lagos state have been approved by the President Muhammadu Buhari-led administration, through the Revenue Mobilisation Allocation and Fiscal Commission (RMAFC).
Aliyu Mohammed, chairman of the RMAFC Indices and Disbursement Committee, disclosed this when the committee paid a courtesy visit to the state.
Mohammed said they were on a working visit to Lagos to verify crude oil and gas production from Aje oil wells for the purpose of disbursement of the 13 per cent derivation fund.
“It is also important to state that the commencement of oil production from Aje oil field by Yinka Folawiyo Petroleum Company Limited is the first time oil is being produced outside the Niger Delta basin and therefore of a significance in diversifying the source of crude and gas production in the country,” Mohammed said.
Mohammed added that the committee recommended that number 1, 2, 4 and 5 of the Aje oil wells fall within 200m isobaths and therefore should be attributed to Lagos state.
Akinwunmi Ambode, governor of the state, who spoke when he received the committee at the Lagos House, Ikeja, said that it was significant for the Nigeria economy that the State has emerged as the first oil producing state outside the Niger Delta basin.
“We are very glad to receive this delegation. We also want to thank the Federal Government, most especially President Muhammadu Buhari for making this to happen very promptly,” Ambode said.
“I want to say that this has been the quickest action that has been taken by RMAFC since I have known the Commission. I used to be a former Account General so I had a lot of transactions and relationship with the institution called RMAFC.
“Within a span of about 60 days of when we wrote our letter, and even before we wrote the letter, this technical committee was set up. It gladdens me to say that the institution works and is working for the good of Nigeria.”