Nigeria launches three gas projects

The government of Nigeria led by the Head of State President Bola Tinubu inaugurated three major gas projects aimed at bolstering the energy sector and driving industrial growth in the country.

The projects include the expanded AHL Gas Processing Plant, the ANOH Gas Processing Plant, and the 23.3-km ANOH to Obiafu-Obrikom-Oben (OB3) Custody Transfer Metering Station Gas Pipeline, all located in southeastern Nigeria. The inauguration ceremony was chaired virtually by President Tinubu from Abuja.

The AHL Gas Plant is a collaborative venture between the Nigerian National Petroleum Company Limited (NNPCL), Sterling Oil Exploration and Energy Production Company Limited, and Seplat Energy Plc. Meanwhile, the ANOH Gas Processing Plant is an integrated facility designed to process non-associated gas with a capacity of 300 million standard cubic feet (MMscf) per day.

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President Tinubu highlighted that these projects will significantly boost the supply of gas to Nigeria’s power sector, gas-based industries, and other critical areas of the economy. He emphasized the importance of these projects in supporting the government’s Decade of Gas Initiative, which aims to fully utilize Nigeria’s vast gas resources, reduce gas flaring, and drive industrialization.

The projects are expected to inject approximately 500 MMscf of gas into the domestic market, representing a 25% increase in gas supply. This increase is crucial for powering various sectors, including electricity generation and gas-dependent industries, thereby promoting industrial growth and creating employment opportunities.

Mele Kyari, the group chief executive officer of NNPCL, stated that this gas revolution would bring substantial resources into the domestic market, providing gas for power generation, industry, and chemicals. He noted that this development would create jobs, generate tax revenue, and provide other benefits typical of a gas-producing country.