EKPO SAYS NATURAL GAS KEY TO NIGERIA’S ENERGY FUTURE
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……as FG highlights investments in gas for improved economy, circulation of cleaner energy
Minister of State, Petroleum Resources (Gas), Rt. Hon. Ekperikpe Ekpo has assured the citizenry of the federal government’s efforts in ensuring the prompt circulation of compressed natural gas (CNG) as a more affordable fuel option.
Stressing that the Brass Methanol Project’s Gas Sales Purchase Agreement will inject three billion dollars into Nigeria’s gas sector and that CNG Stations have been deployed across the country through the Nigerian National Petroleum Company Limited (NNPCL) for a transition to cleaner energy.
He stated this while delivering his Ministerial address during 2024 NAEC Annual Strategic International Conference, organized by the Association of Energy Correspondents of Nigeria (NAEC) at Eko hotel, Victoria Island, Lagos.
Represented by the Senior Technical Adviser (STA) to the Hon. Minister of State, Pet. Resources (Gas) · Ministry of Petroleum Resources, Abel Nsa, He said : “we have launched the Ride Share CNG Conversion Incentive Programme, alongside the My CNG App, which offers a 50% discount for rideshare drivers. This initiative promotes compressed natural gas (CNG) as a cleaner, more affordable fuel option for transportation while reducing the financial burden on drivers and promoting a shift to cleaner fuels.
“We have made remarkable progress in commissioning new gas processing facilities across the country, including the 3.1 million metric tonnes per day CNG plant in Ogun State, the 5.2 MMscfd CNG/autogas facility in Lagos, and the 300 MMscf/d Kwale Gas Gathering Hub in Delta State. These projects not only boost gas supply but also create jobs, stimulate local economies, and increase access to clean energy,” he said.
The minister highlighted the investments of the gas sector aimed at enhancing Nigeria’s position in the global gas market and creating more job opportunities to boost the nation’s economy and urged Nigerians to properly harness the potential in gas for reliable energy delivery and cleaner energy.
He said, “we are making significant strides in unlocking investments. One major milestone is the forthcoming Gas Sales Purchase Agreement (GSPA) for the Brass Methanol Project, which will inject $3 billion into Nigeria’s gas industry. This investment will not only enhance Nigeria’s position in the global gas market but also stimulate the local economy by creating jobs and expanding our industrial base.
“In addition, under my leadership, as contained in the Petroleum Industry Act PIA 2021, we have constituted the Midstream and Downstream Gas Infrastructure Fund (MDGIF) to address critical financing gaps in infrastructure development. This will go a long way in ensuring that our gas resources are efficiently harnessed and delivered to the market.”
On its collaboration with the United States, Ekpo said the ministry had the US-Nigeria Strategic Energy Dialogue two weeks ago, coming up with robust plans.
“The US Department of State, through its Energy and Mineral Governance Programme committed to renewed technical assistance to further support the Nigerian Government and NNPC in reducing methane emissions from the oil and gas sector.
“The US Agency for International Development (USAID), through Power Africa, commits an additional $75-$85 million technical assistance to Nigeria.
“The US Department of Energy’s Net Zero World Program commits more than $1.3 million for clean energy technical support to Nigerian Partners,” he stated.
The minister maintained that there is significant progress in the reduction of gas flaring and methane emissions, adding that the commissioning of AHL Gas Processing Plant, the ANOH Gas Processing Plant, and the ANOH-OB3 Gas Pipeline will keep enhancing the growth of the sector.
