Efforts by President Bola Tinubu’s administration to stimulate investment in the oil and gas industry to support the growth of the Nigerian economy have received a major boost with the commitment by the NNPC-SPDC Joint Venture to take the Final Investment Decision (FID) on the Iseni Gas Project.
This will see the building of a dedicated upstream facility to supply 100 million standard cubic feet of gas per day (MMSCF) to the domestic market for 10 years.
Once completed, the additional gas volumes supplied to the domestic market will also translate into significant forex savings for the nation.
The Chief Corporate Communication Officer (CCCO) of the Nigerian National Petroleum Company Limited (NNPCL), Olufemi Soneye, disclosed in a chat with reporters that with the development, NNPCL was poised to sustain the momentum and finalise terms with partners for other upstream gas development projects.
He noted that adding 100 MMSCF of gas per day to the domestic market translates into feedstock capable of generating 400 Megawatts (MW) of electricity or 1.5 Metric Tonnes Per Annum (MTPa) of Urea.
Soneye noted that based on the agreed structural design, the project would flow gas from the prolific Iseni wells through a dedicated 24” X 50km pipeline from Iseni into NAG 3 Gas Plant to be constructed at Utorogu.
He said the gas would then be processed and injected into the Escravos-Lagos Pipeline System (ELPS) to the domestic market.
NNPCL spokesman made it clear that this milestone was enabled by the strong collaboration and support for the JV from the Federal Government and NNPC Ltd, under the strategic leadership of the Group Chief Executive Officer (GCEO) and guidance of President Tinubu.
“Nigeria’s gas reserve is estimated at 206 trillion Cubic Feet (TCF), and with adequate and consistent investment in the gas value chain, Nigeria could become Africa’s gas powerhouse.”
According to Soneye, the project is one in a series of efforts President Tinubu has instituted in the energy sphere being driven by the NNPCL team led by Mele Kyari as a show of commitment to enhancing the standard of living of Nigerians.