The federal government has charged gas producing companies in the Niger Delta to do more to help the government in its efforts to end gas flaring by taking advantage of available gas processing plants around the region.
The Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), Dr Maikanti Baru, who gave the charge on Thursday at the commission of the Egbaoma Gas Processing plant in Ebedei community, Ukwuani council area of Delta state, also said government is working on a gradual phasing out of the gas flare era in the oil/gas-rich Niger Delta region.
He said with the operations of the Ebedei processing plant, the gas flare in the Umutu gas field should be out before the end of the year, charging all gas producing companies in the Delta area to take advantage of the opportunities now provided by PNG Gas Limited in the area and help in the crusade to end gas flaring in the country.
Dr Baru, who commended the operators of the gas processing company; PNG Gas Limited, for pioneering gas development efforts locally, also said the federal government is aggressively pursuing an expansion of domestic gas supply capacity to 5 bscfd (billion standard cubic feet per day).
As part of the expansion project, Baru informed that the gas pipeline infrastructure network system is equally being expanded, adding that the Obiafu-Obrikom to Oven (OB3) gas pipeline, a 2 bscfd capacity pipeline, which is a project aimed at the creating a gas grid across the country, should be ready before the end of this year’s second quarter.
Address journalists after the inspection and commissioning of the gas plant, Baru said “my visit here is to reassure the investors here that the gas that is being flared will go into the OB3 and that this flare, God willing, before the end of this year will be out.
“I’m also encouraging the other producers who are flaring to connect their gas into this gas plant so that they can add value by processing it, removing the liquid that they can sell at a higher value and of course, putting out the flares and monetising the lean gas.
“At this juncture, may I urge the operators whose assets are at close proximity to this plant and the OB3 pipeline to seize the opportunity presented by this gas plant to collaborate with PNG Gas Limited to supply gas to maximize the plant’s capacity, access and commercialize all existing flares and further develop the significant had reserves of 1Tcf in the area. I see this initiative as the beginning of an end to the last mile of gas flaring in Nigeria”, he said.
In his Welcome Address, the Chairman and Chief Executive Officer Owel-Linkso Group, promoters of PNG Gas Limited, Engr. Charles Osezua, said his company had invested about $60 million in the Egbaoma Gas Processing Plant, with capacity to process some 30 mscfd of wet gas.
According to him, about 500 Nigerians have become commercial beneficiaries of the operations of the processing plant, while more than 500 homes are being serviced with the LPG being produced from the place.