Heirs Energies’ acquisition of Oil Mining Lease (OML) 17 in 2021 was seen as a bold, risky move by industry insiders. Heirs Holdings invested over $1 billion for a 45% interest in the strategic OML 17 asset from Shell, ENI, and Total. The deal captured headlines across Africa’s oil and gas sector.
OML 17, in the Niger Delta, was once a thriving producer but suffered from years of underinvestment, security challenges and deteriorating infrastructure. By the time Heirs Energies acquired it in 2021, production had dropped below 20,000 barrels of oil equivalent per day (boepd). Fast forward to 2025, and this underproducing asset is one of Nigeria’s most compelling turnaround stories. Over four years, Heirs Energies more than doubled oil output and significantly increased gas production.
The man behind the acquisition, Tony O. Elumelu, CFR, took a bold bet guided by his philosophy of Africapitalism, the belief that Africa’s private sector must lead in delivering both economic prosperity and social wealth. By committing over $1 billion to acquire OML 17, he signalled confidence in Africa’s resources, its people, and its future. To turn that vision into reality, he entrusted, CEO of Heirs Energies Osayande Igiehon, a proven operator with deep technical expertise and industry credibility. Igiehon has since led the turnaround, applying discipline, innovation and stakeholder collaboration to transform OML 17 into one of Africa’s most compelling brownfield success stories.
Igiehon explains it wasn’t an easy path, “For a decade, we faced setbacks; oil price crashes, exchange rate pressures, crises in the Niger Delta, and financing challenges. But we persisted and successfully closed the deal in 2021, which was later recognised as Africa’s M&A Deal of the Year.”
He adds, “OML 17 was a classic brownfield value opportunity, a quality asset underperforming due to underinvestment and security challenges. We believed that with local know-how, our Africapitalism philosophy and Brownfield Excellence, we could unlock its full potential.”
A model for unlocking Africa’s brownfields
But, how exactly did Heirs Energies revive this once-failing asset?
According to Igiehon, it started with the basics: security and stakeholder trust. “We collaborated with the government, security forces and host communities, and restored production reconciliation levels from just 3% to over 99%.”
Next, they tackled infrastructure integrity. They repaired ageing flowlines and de-bottlenecked facilities, which led to the reactivation of over 100 dormant wells. The company focused on safety-driven operations, adopted fast decision-making, cost discipline and created a culture where everyone is a safety officer. The result? Heirs Energies recorded over 1.5 million safe manhours and 1,627 Lost Time Injury (LTI)-free days by the second quarter of 2025.
A major standout in the OML 17 story was the company’s use of innovative, low-cost interventions for gas scale-up. Eschewing expensive options, Heirs Energies used rigless through-tubing techniques that delivered quick results. In November 2024, the Agbada-68T well was restored using this approach, followed by Agbada-67T in August 2025, adding a combined 65 MMscf/d of gas capacity.
“Our technical team provided smart, tailored solutions that delivered enormous results. The improvements exceeded expectations because of team execution and innovation,” says Igiehon proudly. A senior technical executive adds: “By applying through-tubing solutions instead of costly workovers, we cut execution cost by 65% and time by 32%, while delivering 45 MMscf/d from Agbada-67T alone. This is the model for unlocking Africa’s brownfields.”
The evidence is clear – their strategy works. Oil production has more than doubled from the 20,000 boepd (2021) to consistently exceeding 50,000 boepd, and gas output climbed from 70 MMscf/d to around 125 MMscf/d.
Blueprint for Africa
For Heirs Energies, OML 17 is not just a success story — it is a blueprint for excellence and innovation. Igiehon adds, “Yes, our Brownfield Excellence playbook is repeatable wherever there is a viable reservoir core. The model is clear.”
- Secure the asset and win stakeholder trust
- Restore infrastructure integrity and flow assurance,
- Apply smart, low-capex interventions (rigless through-tubing),
- Operate lean with a strong safety culture
- Build long-term value
These seemingly simple steps transformed a struggling, underperforming field into a thriving production hub. The revival of OML 17 is a testament to vision, resilience and innovation. And for Heirs Energies, it is proof that an African-owned and African-led company can take on the toughest challenges—and win.
Posted by Mining Business Africa