05-03-2018, 11:46 AM
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![[Image: Dr.Maikanti-Baru-696x445.png]](https://independent.ng/wp-content/uploads/2017/11/Dr.Maikanti-Baru-696x445.png)
Dr.Maikanti Baru
Lagos / Abuja – Nigeria is expecting over $25 billion investments in its gas sector in the next 10 years, according to Maikanti Baru, the Group Managing Director of the Nigerian National Petroleum Corporation (NNPC).
Baru disclosed this on Wednesday in a lead paper at the ongoing 50th Offshore Technology Conference (OTC) in Houston, United States of America.
He said huge opportunities abound in Nigeria’s gas sector.
He was also quoted in a statement as describing the nation’s petroleum industry as the largest and most vibrant in sub-Saharan Africa with lots of potentials, especially in the deep water and untapped gas resources.
He told the gathering that Nigeria offered unique opportunities for investment in exploration, refining, storage, transportation, power, distribution, and marketing of petroleum products, adding that the nation’s gas reform was anchored on a robust strategic framework that was focused on maximum economic impact through the gas.
Baru further announced a three-point smart strategy aimed at ending gas flaring in two years in the nation’s oil and gas industry.
Speaking on the theme, ‘Nigeria’s Gas Flare Commercialisation, Prospects & Opportunities’, Baru explained that in the last decade, gas flaring in Nigeria had reduced significantly from 25% to 10%.
READ ALSO: NNPC Paid Self N2.592trn Subsidy In 2017 – Senate
According to him, the multi-pronged approach taken by the NNPC would ensure a sustainable solution to the historical problem of flaring, thereby turning waste into dollars.
He explained that the three-point strategy championed by NNPC to arrest the growth in gas flare includes ensuring non-submission of Field Development Plans (FDPs) to the Department of Petroleum Resources (DPR) without a viable and executable gas utilisation plan, a move aimed at ensuring no new gas flare in current and future projects.
The other two strategies, Baru added, were a steady reduction of existing flare through a combination of targeted policy interventions in the Gas Master-plan as well as the re-invigoration of the flare penalty through the 2016 Nigeria Gas Flare Commercialisation Programme (NGFCP) and through legislation, that is, ban on gas flaring via the recent Flare Gas (Prevention of Waste and Pollution) Regulations 2018.
He explained that the development would not only see Nigeria dropping from being the second highest gas flaring nation in the world to seventh, it would also signify a major milestone in its gas commercialisation prospects.
“Total flares have significantly reduced to current levels of about 800mmscfd and in the next one to two years we would have completely ensured zero routine flares from all the gas producers,” the GMD stated.
READ ALSO: Okowa, Others Eulogise Ibori Over Delta State Developmental Strides
The NNPC, he said, had embarked on the most aggressive expansion of the gas infrastructure network aimed at creating access to the market.
“Today, we have completed and commissioned almost 600km of new gas pipelines, thereby connecting all existing power plants to permanent gas supply pipelines.
“We are also currently completing the construction of the strategic 127km Obiafu-Obrikom-Oben gas pipeline – ‘OB 3’ connecting the Eastern supply to the Western demand centres,” he added.
Baru further noted that aside looping Escravos-Lagos Pipeline System (ELPS 2) gas pipeline projects to increase gas volume capacity to at least 2bcf/day, the corporation had recently signed the contracts to kick off the 614km Ajaokuta-Kaduna-Kano (AKK) pipeline project, which on completion, would deliver gas to the ongoing power plants in the areas and revive the manufacturing industries in the northern part of the country.
He assured that there was evidence that the interventions undertaken by the corporation were working as gas supply to the domestic market was growing at an encouraging rate, having tripled from 500mmcf/d in 2010 to about 1500mmcf/d currently.
READ ALSO: Ijaw Youths Threaten To Attack $15bn Total Egina Facility
[url=https://independent.ng/ijaw-youths-threaten-to-attack-15bn-total-egina-facility/]
Baru informed that the aggressive development of gas infrastructure (pipelines and processing plant) between supply sources and the market would also create a sustainable evacuation route for currently flared gas and other gas sources.
Meanwhile, Ibe Kachikwu, Minister of State for Petroleum Resources, has confirmed he would be present at Africa Oil Week to drive forward transformative projects across the continent through the Africa Oil Week billed to hold later this month.
The Africa infrastructure deficit sits at $90 billion which poses a huge challenge to investors and operators alike.
He said there were significant opportunities for the Nigerian oil sector, adding that the launch of the 7 Big Wins had altered the funding capacity for the upstream sector which had been a strong incentive for additional investment in the upstream sector.
He stated that projects like Egina deep water project worth $15 billion; Zabazaba, $10 billion; Bonga, $10 billion, and others have put investments at over $40 billion potential investments over the next five years.
“Revamping our infrastructure is necessary to capitalise on these opportunities. What we need is to get the policy thrust and the incentives to drive the policy thrust,” Kachikwu said
Read more https://independent.ng/fg-targets-25bn-i...-10-years/
![[Image: Dr.Maikanti-Baru-696x445.png]](https://independent.ng/wp-content/uploads/2017/11/Dr.Maikanti-Baru.png)
Dr.Maikanti BaruLagos / Abuja – Nigeria is expecting over $25 billion investments in its gas sector in the next 10 years, according to Maikanti Baru, the Group Managing Director of the Nigerian National Petroleum Corporation (NNPC).
Baru disclosed this on Wednesday in a lead paper at the ongoing 50th Offshore Technology Conference (OTC) in Houston, United States of America.
He said huge opportunities abound in Nigeria’s gas sector.
He was also quoted in a statement as describing the nation’s petroleum industry as the largest and most vibrant in sub-Saharan Africa with lots of potentials, especially in the deep water and untapped gas resources.
He told the gathering that Nigeria offered unique opportunities for investment in exploration, refining, storage, transportation, power, distribution, and marketing of petroleum products, adding that the nation’s gas reform was anchored on a robust strategic framework that was focused on maximum economic impact through the gas.
Baru further announced a three-point smart strategy aimed at ending gas flaring in two years in the nation’s oil and gas industry.
Speaking on the theme, ‘Nigeria’s Gas Flare Commercialisation, Prospects & Opportunities’, Baru explained that in the last decade, gas flaring in Nigeria had reduced significantly from 25% to 10%.
READ ALSO: NNPC Paid Self N2.592trn Subsidy In 2017 – Senate
According to him, the multi-pronged approach taken by the NNPC would ensure a sustainable solution to the historical problem of flaring, thereby turning waste into dollars.
He explained that the three-point strategy championed by NNPC to arrest the growth in gas flare includes ensuring non-submission of Field Development Plans (FDPs) to the Department of Petroleum Resources (DPR) without a viable and executable gas utilisation plan, a move aimed at ensuring no new gas flare in current and future projects.
The other two strategies, Baru added, were a steady reduction of existing flare through a combination of targeted policy interventions in the Gas Master-plan as well as the re-invigoration of the flare penalty through the 2016 Nigeria Gas Flare Commercialisation Programme (NGFCP) and through legislation, that is, ban on gas flaring via the recent Flare Gas (Prevention of Waste and Pollution) Regulations 2018.
He explained that the development would not only see Nigeria dropping from being the second highest gas flaring nation in the world to seventh, it would also signify a major milestone in its gas commercialisation prospects.
“Total flares have significantly reduced to current levels of about 800mmscfd and in the next one to two years we would have completely ensured zero routine flares from all the gas producers,” the GMD stated.
READ ALSO: Okowa, Others Eulogise Ibori Over Delta State Developmental Strides
The NNPC, he said, had embarked on the most aggressive expansion of the gas infrastructure network aimed at creating access to the market.
“Today, we have completed and commissioned almost 600km of new gas pipelines, thereby connecting all existing power plants to permanent gas supply pipelines.
“We are also currently completing the construction of the strategic 127km Obiafu-Obrikom-Oben gas pipeline – ‘OB 3’ connecting the Eastern supply to the Western demand centres,” he added.
Baru further noted that aside looping Escravos-Lagos Pipeline System (ELPS 2) gas pipeline projects to increase gas volume capacity to at least 2bcf/day, the corporation had recently signed the contracts to kick off the 614km Ajaokuta-Kaduna-Kano (AKK) pipeline project, which on completion, would deliver gas to the ongoing power plants in the areas and revive the manufacturing industries in the northern part of the country.
He assured that there was evidence that the interventions undertaken by the corporation were working as gas supply to the domestic market was growing at an encouraging rate, having tripled from 500mmcf/d in 2010 to about 1500mmcf/d currently.
READ ALSO: Ijaw Youths Threaten To Attack $15bn Total Egina Facility
[url=https://independent.ng/ijaw-youths-threaten-to-attack-15bn-total-egina-facility/]
Baru informed that the aggressive development of gas infrastructure (pipelines and processing plant) between supply sources and the market would also create a sustainable evacuation route for currently flared gas and other gas sources.
Meanwhile, Ibe Kachikwu, Minister of State for Petroleum Resources, has confirmed he would be present at Africa Oil Week to drive forward transformative projects across the continent through the Africa Oil Week billed to hold later this month.
The Africa infrastructure deficit sits at $90 billion which poses a huge challenge to investors and operators alike.
He said there were significant opportunities for the Nigerian oil sector, adding that the launch of the 7 Big Wins had altered the funding capacity for the upstream sector which had been a strong incentive for additional investment in the upstream sector.
He stated that projects like Egina deep water project worth $15 billion; Zabazaba, $10 billion; Bonga, $10 billion, and others have put investments at over $40 billion potential investments over the next five years.
“Revamping our infrastructure is necessary to capitalise on these opportunities. What we need is to get the policy thrust and the incentives to drive the policy thrust,” Kachikwu said
Read more https://independent.ng/fg-targets-25bn-i...-10-years/