The purpose-built Shore Base, fully funded by EEPNL under a long-term Logistics Base Contract, is designed to support the company’s Erha Floating Production, Storage and Offloading (FPSO) operations, while simultaneously enhancing LADOL’s capacity as a strategic deepwater logistics hub. Once completed, the facility will become part of LADOL’s permanent infrastructure, providing critical logistics, warehousing, and supply chain services essential for offshore operations.
The groundbreaking ceremony, held at LADOL’s Apapa Port complex in Lagos, drew key government stakeholders, including senior officials from the Nigerian Content Development and Monitoring Board (NCDMB) and the National Upstream Petroleum Investment Management Services (NUIMS), alongside industry partners.
The planned facility will feature a modern administrative office, warehouse and storage infrastructure, covered and overhang storage areas, chemical storage facilities, open laydown areas, and pipe sheds, all designed to enhance operational efficiency, safety, and reliability in deepwater logistics operations.
Significantly, the construction will be delivered predominantly by Nigerian companies, with Nigerian professionals leading major project phases, from detailed engineering and design through construction and commissioning.
Speaking at the ceremony, Jagir Baxi, Chairman and Managing Director of ExxonMobil affiliates in Nigeria, described the project as a demonstration of EEPNL’s long-term commitment to the Nigerian deepwater sector and its partnership with LADOL.
"This groundbreaking marks an important milestone in our longstanding collaboration with LADOL and our partnership with Nigeria," Baxi said. "By investing in a permanent Shore Base facility under a Logistics Base Contract, we are strengthening the operational foundation that supports Erha production while contributing meaningfully to Nigeria’s local content aspirations and infrastructure development."
He emphasized the strategic advantage of LADOL’s location, noting that the facility would improve logistics efficiency and operational readiness for EEPNL and create broader benefits for the Nigerian deepwater industry. "Beyond our own operations, this investment enhances LADOL’s infrastructure, attracts suppliers and service providers, and encourages investors to expand their presence in-country. Shared Shore Base resources will improve cost efficiency and support the sustainable growth of Nigeria’s deepwater sector," Baxi added.
The project marks a milestone for LADOL, representing the first fully funded permanent Shore Base facility developed by an international oil company within the Deep Offshore Logistics Base. It underscores a model where foreign investment in long-term lease arrangements can support sustainable indigenous asset ownership.
In addition to operational benefits, the development is expected to generate employment opportunities for Nigerians during construction and throughout the facility’s lifecycle, while advancing local technical, logistics, and supply chain capabilities.
Through this long-term Shore Base investment, Esso Nigeria reaffirmed its commitment to sustaining offshore production, advancing local capacity development, and delivering lasting economic value to Nigeria.