Coastal is well-positioned to identify and acquire new assets and create significant value through the disciplined aggregation of small- to mid-sized assets throughout the region
Coastal seeks to create a significant portfolio of undervalued shallow water assets, which require a marine led evacuation solution in addition to attractive break-even economics.
Nigeria benefits from highly prolific oil sands where recovery rates are above average industry standard, coupled with desirable light sweet crude gradients (which typically trade at a premium to Brent).
Cluster Developments
Coastal plans to selectively advance the most economically attractive field within a cluster as an anchor development on a standalone basis, leveraging the infrastructure to provide processing, storage, and evacuation services to adjacent fields through shuttling or pipeline at rates materially more competitive than an independent development.
Stranded Jewels
Once prolific assets whose production has dwindled due to dilapidated infrastructure and underinvestment, yet have significant remaining untapped recoverable resources that require a marine led solution to unlock production.
Proven Brownfields
Proven standalone shallow water brownfields, with existing appraisal wells reducing reservoir risk. Typically developed in a sequenced approach producing through the usage of an Early Production Facility prior to embarking on the drilling further wells and installing the permanent process, storage and evacuation facilities.
FPSO, MOPU & FSOs
Under specific circumstances, Coastal may seek to undertake standalone investments in processing, storage, and evacuation facilities through the provision of FPSOs, MOPUs and FSOs. These may be structured as either a fixed day rate or on a dollar per barrel (or a combination thereof) as a time charter or bareboat contract.
Future NUPRC and NNPCL divestment programmes
Potential new asset opportunities created by IOC divestment programmes, as they increasingly focus on deeper water opportunities, the NOC divestment programme and licencing bid rounds.
There are also opportunities to partner up with local indigenous operators and licence holders who would benefit from a turn key solution involving funding, process storage and evacuation solutions to bring assets into production with certainty of a known outcome.
Legacy “Marginal Field” Rounds
Two waves of Nigerian government field rounds occurred in 2020 and 2023/24, with the vast majority being awarded to local operators, many of whom are currently seeking financial and technical partners to monetise their assets, where Coastal can assist as an incubator.
“Drill or Drop” Stranded Assets
Nigerian regulators are forcing asset owners to develop or relinquish their licence, spurring constructive engagement.