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How Nigeria can save $1b yearly from flared gas

How Nigeria can save $1b yearly from flared gas

The Programme Manager, National Gas Flare Commercialisation Programme (NGFCP), Federal Ministry of Petroleum Resources, Justice Derefaka has disclosed that Nigeria loses approximately $1 billion of revenue through gas flaring, due to its inability to capture and commercialise flared gas in the country.

He further stated that if flared gas is properly exploited, it has the potential to create 300,000 jobs, produce 600,000 MT of LPG per year and generate 2.5 GW of power from new and existing IPPs, as approximately 700mmscf/d is flared at 178 flare sites in Nigeria.

Speaking at the Nigerian Norwegian Chamber of Commerce (NNCC) Q1 2018 Business Roundtable Seminar held recently in Lagos, on “The Monetization of Gas: Perspectives and Opportunities in the Nigerian Gas Industry”, Derefaka revealed that Nigeria currently utilises almost 700mmscf/d of gas for power production, which could be doubled by capturing and commercializing flared gas, adding that about $3.5 billion worth of inward investments is required to achieve the country’s flare gas commercialization targets by 2020.

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The Guardian: https://guardian.ng/business-services/how-nigeria-can-save-10b-yearly-from-flared-gas/

On behalf of the Federal Government of Nigeria, this programme seeks to attract investments and develop a transparent market mechanism through a competitive procurement process for allocating gas flares, under clear and transparent criteria, to competent third party investors using proven technologies in commercial application globally. The Nigerian Gas Flare Commercialization Programme (NGFCP) is an opportunity for Government, industry, State Government, ethnic nationalities, and local communities to work together to resolve an oil field unacceptable practice.