NNPC Jump Starts Seven Gas Projects To Supply 15GW Power Generation

  • Group Managing Director (GMD) of the Nigerian National Petroleum Corporation (NNPC), Maikanti Baru PHOTO: pulse.ng

    Group Managing Director (GMD) of the Nigerian National Petroleum Corporation (NNPC), Maikanti Baru
    PHOTO: pulse.ng

    …As Baru Clears Air On Minna Depot Fire
    A major stride in the attainment of national energy sufficiency was achieved in Lagos on
    Monday with the commencement of technical framing workshop and subsequent project
    signing ceremony of the seven Critical Gas Development Projects (7CGDP) to deliver
    about 3.4 billion standard cubic feet of gas per day (bscfd) to bridge the foreseen medium
    term supply gap by 2020 on an accelerated basis.
    The 7CGDP is an integral leg of the gas development strategy designed by the Nigerian
    National Petroleum Corporation (NNPC) to leverage the full potential of gas to meet the
    target of generating at least 15 gigawatts (GW) of electricity by 2020.
    In a presentation at the event, Group Managing Director of the Corporation, Dr. Maikanti
    Baru, enthused that the projects would not only bridge the projected shortfall in supply
    upon completion, but would also signal the beginning of the process of closing demand-
    supply gap in the domestic gas market.
    He said NNPC had engaged two World Class Project Management Consultants namely
    DeltaAfrik/Worley Parson & Crestech/Penspen who will work with NPDC and NNPC JV
    Partners and other stakeholders to achieve set project deliverables.
    He listed some of the responsibilities of the project consultants to include: working with
    NNPC and partners to revalidate and carry out relevant technical studies to proposed
    development plans, provide financial advisory services for project funding/financing
    strategy and appraise the fiscal requirements for viability and advice on interventions that
    may be required.
    The PMT are also expected to study and recommend fast-track tendering process for field
    development and project implementation, establish realistic cost benchmark(s) for
    identified projects and develop project schedules and cost estimates for the respective
    projects among others
    Dr. Baru explained that in addition to the above, the NNPC Project Management groups
    would strengthen oversight function on the seven (7) critical gas development projects by
    ensuring prompt decision making and timely approvals in line with international best
    The NNPC GMD said the Corporation was working closely with other agencies like the
    Department of Petroleum Resources (DPR) and the Nigerian Content Monitoring and
    Development Board (NCMDB), among others, to ensure timely approvals for the project
  • and also ensure that lease renewals requests related to these projects were supported for
    renewals by relevant agency.
    Mr. Osagie Okunbor, Managing Director of Shell Petroleum Development Company
    (SPDC) which is handling three out of the seven projects, pledged the commitment of the
    company to the successful execution of the 7CGDP, noting that Shell was fully aligned
    with Nigeria’s gas strategy and aspirations.
    Highpoint of the event was the formal execution of agreement for the development of the
    6.4 trillion cubic feet unitized gas fields (Samabri-Bisseni, Akri-Oguta, Ubie-Oshi fields
    by NNPC/Shell and NAOC JV.
    The 7CGDP include: development of the 4.3 trillion cubic feet (TCF) Assa North/Ohaji
    South field; development of the 6.4 TCF Unitized Gas fields (Samabri-Biseni, Akri-
    Oguta, Ubie-Oshi and Afuo-Ogbainbri); and the development of 7TCF NPDC’s OML 26,
    30 &42.
    Others include: development of 2.2 TCF Shell Petroleum Development Company
    (SPDC) JV Gas Supply to Brass Fertilizer Company; cluster development of 5 TCF OML
    13 to support the expansion of Seven Energy Uquo Gas Plant; and the cluster
    development of 10 TCF Okpokunou/Tuomo West (OML 35& 62).
    Meanwhile the NNPC on Monday provided insight into the fire incident which ravaged
    parts of the PPMC Depot in Minna, Niger State.
    Speaking to journalists on the sidelines of the 7CGDP launch in Lagos, the GMD said the
    fire incident which started late Saturday night after the collapse of the floating roof of one
    of the Petrol storage tanks had since been brought under control.
    He thanked members of the neighbouring communities, the security agencies and
    emergency services for their support and prompt response.

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