The Nigerian National Petroleum Company Limited (NNPC Ltd.) and ExxonMobil have met to discuss plans to increase oil production and expand deepwater investments in Nigeria.

NNPC Group Chief Executive Officer, Bashir Bayo Ojulari, held talks with an ExxonMobil delegation led by Jagir Baxi, chairman, managing director and lead country manager of the company’s Nigerian affiliates, in Abuja.

The meeting took place as ExxonMobil begins work on the $1 billion Usan Infill Project in Oil Mining Lease 138.

The project is expected to increase production from the Usan field by about 40,000 barrels per day through the drilling of additional wells.

ExxonMobil operates OML 138 under a production-sharing contract with NNPC Ltd. The Usan development is designed to improve recovery from the existing field, raise production and extend its operational life.

The project also marks ExxonMobil’s return to drilling activities in Nigeria after its last drilling campaign in the country in 2016.

During the meeting, NNPC and ExxonMobil discussed production from their jointly held assets as well as the oil company’s plans for additional offshore investments.

NNPC said the discussions were part of efforts to increase crude production from existing assets and encourage fresh investment in Nigeria’s deepwater oil sector.