NPDC, IOCs To Inaugurate Gas Projects

The Federal Government on Monday announced the readiness of the Nigerian Petroleum Development Company (NPDC) and some international oil companies to inaugurate four gas projects that would considerably improve power supply across the country.

It stated that the projects would come on stream in a couple of months, adding that they would improve gas supply to power generation plants, as a total of 855 million standard cubic feet of gas per day would be added to domestic gas supply in the short term.

The government, in a communique issued by the Federal Ministry of Power, Works and Housing at the end of the sixth monthly meeting of operators in the power sector, stated that the Nigerian National Petroleum Corporation assured players in the industry that gas supply for power generation would soon improve considerably.

The communique stated, “The NNPC announced the forecasted completion and inauguration of four infrastructure projects by the NPDC and IOCs to improve gas supply to power plants over the next few months through September 30, 2016. A total of 855 mmsfcd is expected to be added to the domestic gas supply in the short term of which about 70 per cent is sent to power plants for use in generation.”

“It is estimated that the increase in gas supply to power plants will increase generation capacity by approximately 2,000 megawatts by the middle of 2017.”

The meeting, according to the communique, also resolved to persuade oil and gas producers to explore better ways of re-injection to boost oil production by using water instead of gas in order to increase the amount of gas available for domestic consumption.

It added that the Transmission Company of Nigeria reported the completion of 20 projects since the last meeting, adding that the projects were in Gwagwalada, Kaduna, Afam, Apo, Lekki and Omotosho.