NNPCL And Partners Achieve Record-Breaking Early Completion Of Three Major Gas Projects

By Oluwabukola Jimoh ــ Last Update 29 May 2024

Last Wednesday 22nd May 2024, President Bola Tinubu inaugurated three pivotal gas infrastructure projects executed by the Nigerian National Petroleum Company Limited (NNPC) and its partners. This event marks a significant step in the president’s agenda to leverage gas resources for the growth and diversification of Nigeria's economy.

Key Projects Unveiled

The three projects inaugurated are:

AHL Gas Processing Plant 2 (GPP – 2): An expansion of the Kwale Gas Processing Plant, with a capacity of 200 million standard cubic feet per day (mmscf/d).

AHL Gas Plant: Developed by Ashtavinayak Hydrocarbon Ltd (AHL), a joint venture between NNPC Limited and SEEPCO, with a capacity scalable to 240 mmscf/d.

ANOH-OB3 CTMS Gas Pipeline Project: A critical pipeline enhancing the delivery of processed natural gas.

Distinguished Guests and Collaborative Efforts

The inauguration ceremony saw the presence of notable dignitaries including the Governors of Delta and Imo States, the Minister of State for Petroleum Resources (Gas), the NNPCL Board Chairman, and the Group Chief Executive Officer of NNPCL. Key industry figures such as the Managing Directors of AHL and Seplat also attended, highlighting the collaboration between public and private sectors in these projects.

Economic and Environmental Impact

The AHL project stands out for its ambitious scope and potential impact. Designed to process 200 mmscf/d of gas, it promises significant economic and environmental benefits. The project is expected to generate over $500 million in the next decade, create thousands of jobs, and supply cleaner fuels, thus fostering sustainable development and reducing gas flaring.

President Tinubu's Vision for Gas-Driven Prosperity

In his address, President Tinubu emphasized the alignment of these projects with his administration’s "Renewed Hope Agenda." He praised the NNPC and its partners for their swift and efficient execution, which exceeded expectations. Tinubu noted that these projects would increase domestic gas supply by approximately 500 mmscf/d, enhancing energy availability for industrial growth and job creation.

Commitment to the Decade of Gas Initiative

The projects are integral to the federal government’s Decade of Gas initiative, aimed at harnessing Nigeria's vast gas reserves to drive industrialization and economic diversification. President Tinubu reiterated the government's commitment to supporting and accelerating gas infrastructure development, ensuring a reliable energy supply, and promoting environmental sustainability.

Industry Leaders' Remarks

Petroleum Minister Ekperikpe Ekpo highlighted the government's use of gas as a transitional fuel towards achieving green energy by 2060. He lauded the president's leadership in eliminating fuel subsidies and promoting upstream and midstream gas development.

NNPCL GCEO Mele Kyari commended the president's support, noting the projects' contribution to reducing import dependency and monetizing Nigeria’s substantial gas reserves. He emphasized the broader strategic efforts to enhance gas infrastructure, including the Ajaokuta-Kaduna-Kano pipeline and Compressed Natural Gas (CNG) projects. He noted that the three infrastructure projects will enable additional gas processing capacity and also increase the supply of Liquefied Petroleum Gas (LPG), thereby reducing the dependency on importation.

Delta State Governor's Perspective

Governor Sheriff Oborevwori of Delta State underscored the project's role in boosting energy supply and improving living standards. He assured investors of Delta’s conducive environment for business and investment, noting the state’s strategic importance in Nigeria's energy landscape.

Private Sector Contributions

AHL Managing Director Mohit Barot and Seplat MD Roger Brown emphasized the importance of public-private partnerships in achieving national energy goals. They commended the supportive policies of President Tinubu's administration and reiterated their commitment to contributing to Nigeria’s industrial and economic development.

A Bright Future for Nigeria’s Energy Sector

These gas infrastructure projects represent a major milestone in Nigeria's journey towards energy sufficiency and economic prosperity. They embody the collaborative spirit between government and private sectors, driving innovation and sustainable development. As Nigeria leverages its abundant natural gas resources, these projects will play a crucial role in transforming the nation’s energy landscape and fostering a brighter future for all Nigerians.

Share on Social Media:

Oluwabukola Jimoh

Oluwabukola Jimoh is a dynamic academic writer and captivating energy blogger. She is able to delve into intricate subjects with an insatiable thirst for knowledge, crafting thought-provoking essays that engage and enlighten her readers.