Niger has oil potential; however it is largely unexplored. Exploration began in the 1950's with the first wells being drilled in the period between 1962 and 1964 by Petropar in the Djado and Tamesna-Talak areas. Encouraging oil shows were encountered in some of the wells.
In the seventies and eighties, activity increased with Global Energy, Sun Oil, Conoco, Texaco, Esso and Elf involved in exploration in the Kafra-Seguedine grabens, the Dosso area, the Agadem Basin, the Iullemeden Basin, the Bilma area. Focus finally centred on the Djado Basin and the Agadem Basin.
In 1992, the Djado permit was awarded to Hunt Oil and in 1997 the Tenere permit was awarded to TG World Energy Inc while Esso now holds the sole rights to the Agadem block.
In January 2005 Petronas Carigali Niger Exploration & Production Ltd. (PCNEPL), a subsidiary of Petronas, annopunced that it had encountered hydrocarbons in the Agadem Block 1 Permit, Republic of Niger. The Jaouro-1 exploration well was drilled in the Termit Basin about 1,000 kilometres east of Niamey, the capital of Niger. The well achieved a total depth of 2,462 metres. Production tests of the well resulted in a maximum flow rate of 2,540 barrels of oil per day. PCNEPL is the operator of the Agadem Block 1 and holds 50% equity in the project. The other partners in the consortium are Esso Exploration and Production Niger Inc. and Esso Deutschland GmbH, both of which are subsidiaries of ExxonMobil.
Dubri Oil Company Ltd
Dubri Oil is Nigeria's first indigenous oil company, producing 1000 bpd from the Gilli Field in OML 96.