FG, others eye 3bn cubit feet gas for growth

The Federal Government, Nigerian National Petroleum Corporation (NNPC) and Shell Petroleum Development Corporation (SPDC) are working together with a view to producing three billion standard cubit feet of gas per day from four projects in the country, the Managing Director, Shell Petroleum Development Company (SPDC), Mr Osagie Okunbor, has said.

He said the four projects were initiated by the Federal Government to produce gas sufficiently for economic growth.


He said Assa North/Ohaji South Gas Development project, which has the capacity to produce 300 million cubit feet of gas per day, was one of them, while the three other projects are still in the early stages of development, due to the fact the  government is yet take investment decisions on them.


Okunbor said that Assa North/Ohaji South Gas Development Project had capacity to be one of the largest gas providers in Nigeria.

Represented at an event in Lagos by the Managing Director, Shell Nigeria Gas, Mr Ed Ubong, Okunbor said that the four projects were among the seven critical gas supply initiatives of the Federal Government.

According to him, three of the stakeholders in Nigeria’s oil and gas value chains are coming together on the heels of decision by government to declare years 2020-2030 as Decade of Gas.

Continuing further, he said the partnership would ensure that over three billion standard cubit of gas was produced from the four projects and further improve domestic consumption and export of gas.

“SPDC is working with NNPC and the Federal Government to develop critical gas supply projects. The idea would enable the country achieve the objectives of the Decade of Gas declared months ago by the Federal Government,” he added.

Okunbor further said that government initiated the four projects in order to provide gas for domestic consumption, power generation and industrial layout, like fertiliser companies.

Okunbor, also the Country Chair of Shell, said the four projects were expected to deliver over three billion standard cubit of gas per day for domestic use and export on completion.


Okunbor listed other activities of SPDC to include production of crude oil in the Niger Delta region and supply of gas for industrial activities.
SPDC Joint Venture (JV), Okunbor said, operates Gbaran-Ubie gas plant in the region to provide economic growth.


“Gbaran-Ubie achieved peak production with about 175,000 barrels of crude oil, which approximately is 864 million standard cubit of gas per day and 26,000 barrels of condensate per day. The gas is largely for export, not domestic activities.” he said.


Also, Okunbor said that Shell Nigeria Gas was supplying the product to industrial hubs of Lagos and Ogun states, while at the same time, planning to expand to other states of the federation.


He said that the company had completed its 20 kilometre gas pipeline expansion project in Abia State, stressing that the pipeline connected three key industrial zones, as well as supplying the product to a consortium, which provides electricity for businesses in Ariaria areas of the state.




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