Nigeria, China ink US $1bn gas flaring deal

1
1159
Nigeria, China ink US $1bn gas flaring deal

Beijing Zhongmin Xinjunlong, New Energy Technology Company Ltd. and NIGUS International have sealed a deal to fund and develop gas flaring solutions in Nigeria.

The US $1bn deal inked is a significant step towards addressing environmental concerns and promoting sustainable energy practices in the country. The deal, signed in Abuja, aligns with a national directive from President Bola Tinubu and aims to put an end to gas flaring while ushering Nigeria into the realm of green and sustainable energy production.

The partnership between NIGUS and the Chinese company is focused on leveraging advanced technology to convert flared gas into commercial products. The introduced Gas-to-Liquid (GTL) technology will play a pivotal role in this endeavor.

READ:NUPRC sets new rule for oil producers

Gas-to-Liquid (GTL) technology

GTL is a process that transforms natural gas, a clean-burning fossil fuel, into high-quality liquid fuels like gasoline, jet fuel, and diesel.HRH Malik Ado Ibrahim, the CEO and Chairman of NIGUS, emphasized that the joint venture aims to bring a clean climate economy to Nigeria, creating value from previously wasted resources.

The technology will allow the production of LNG for export, synthetic diesel for the energy mix, and cooking gas, among other products.The innovative approach to utilizing flared gas is in line with the President’s directive to address environmental issues associated with gas flaring.

The GTL technology will help turn gas into liquid, creating LNG and contributing to a shift in infrastructure cost by embedding the technology where it is needed.The potential benefits of this project are not limited to environmental impact; it also holds promises for economic growth and job creation in Nigeria.

By showcasing a commitment to cleaner energy practices, Nigeria may attract global green funds, further contributing to its economic development. Yung Ruming, the CEO of Beijing Zhongmin Xinjunlong New Energy Technology Company Ltd., expressed readiness for the partnership and highlighted the longstanding positive relationship between Nigeria and China.