TheCable

Nigerian National Petroleum Corporation (NNPC), Chevron, Agip, Shell Nigeria and four other oil companies have evolved a scheme to grow gas supply for domestic consumption by 285 percent by 2020.

According to NNPC, the scheme aims to move domestic gas supply from 1.3 billion standard cubic feet per day to five billion standard cubic feet per day, by 2020.

This was disclosed at the seven Critical Gas Development Projects (7CGDP) stakeholders’ meeting on Tuesday at the NNPC Towers in Abuja.

The stakeholders made up of NNPC and seven other oil and gas companies listed the seven projects earmarked for fast-track execution to meet the 285 percent domestic gas supply growth projection to include: Assa North-Ohaji South Field Development (ANOH); Oil Mining Lease 24 and OML 18 Joint Development and Shell Petroleum Development Company Joint Venture/Nigeria Agip Oil Company Joint Venture Unitized Gas Fields.

Others are: NPDC’s OML 26, 30, 42 and Chevron Nigeria Limited’s OML 49 Makaraba Cluster Development; SPDC JV Gas Supply to Brass Fertilizer Company; OML 13 Cluster Development and Cluster Development of Okpokunou/Tuomo West (OML 35/62).

Maikanti Baru, the group managing director of NNPC, told the stakeholders that the federal government has directed the corporation to aggressively pursue gas development to jump start the nation’s economic growth.

According to Ndu Ughamadu, the NNPC spokesman, Baru outlined the strategic focus for achieving the federal government’s mandate to include growing capacity to supply enough gas to generate 15 gigawatts (15,000 MW) of electricity to the power sector by 2020.

He also said this will involve stimulating gas-based industrialisation by positioning Nigeria as the African regional hub for gas-based industries such as fertilizer, petrochemicals, methanol and developing gas for export by selectively expanding export footprint in high value and strategic foreign markets.

He said appropriate funding for the seven critical gas projects should be a priority and a key success factor, adding that alternative funding through third party financing option would be adopted to facilitate execution of these vital projects.