NCDMB Partners with 15 firms for Energy Transition, Raises Gas investments to 70%
By Genevieve Aningo
To boost the Nigeria Energy Transition and support the ‘Decade of Gas’ initiative slated between 2021-2030 as declared by President Muhammadu Buhari, the Nigerian Content Development & Monitoring Board (NCDMB) has announced that the agency has patterned with 15 firms to set up projects covering modular refining gas processing, gas distribution, power generation, manufacturing, and others to achieve a gas-powered Nigeria.
This was revealed by the General Manager, of Corporate Communications & Zonal Coordination, NCDMB, Dr. Ginah O Ginah during the Nigerian Content Capacity Building Workshop for media stakeholders organized by NCDMB with the theme: “Enhancing Media Competencies To Support Nigerian Content In a Gas Economy” held at Ikeja Lagos on December 19th.
Dr. Ginah also pinpointed that the board’s investments in supporting the Federal Government’s strategy to use Gas as Nigeria’s transition fuel and support the Ministry of Petroleum Resources Gas policies such as the ‘National Gas Expansion Program’, ‘Gas Network Code’ and ‘Flares Commercialisation Programme’ is at 70 percent.
According to him: “It is worthy of note that 70 percent of our investments are on gas-based activities, especially midstream and downstream gas. Our investments underscore the importance of gas to Nigeria’s economic sustainability apart from its role in the energy transition. It is important to highlight that our partnerships and investments are backed by section 70 (h) of the NOGICD Act. This provision states that NCDMB can assist local contractors and Nigerian companies to develop their capabilities and capacities to further the attainment of the goal of developing Nigerian content in the Nigerian oil and gas industry.”
He cited exemplary efforts by the board to ensure that gas is used to create food sufficiency, industrialization, increase in Gross Domestic Product, electric power sufficiency as well as create employment opportunities for the Nigerian youths.
He said “ Some of our gas-based projects include our partnership with Rungas to produce 1.2million LPG Composite cylinders per annum in Bayelsa and Lagos States and our collaboration with NEDO Gas Processing Company in Kwale, Delta State for the establishment of 80 gas Processing Plant and a 300 Gas Gathering hub.
“The Board is also working with Duport Midstream to establish an Energy Park at Egbokor, Edo State. The park would include a 40 million standard cubic feet per day gas processing plant, 2,500 barrels per day modular refinery, and 20 megawatts power plants.
“The Board partnered with the NNPC to invest in Brass Fertilizer and establish 10,000 tonnes per day Methanol Production plant at Odioama, Brass, Bayelsa State, just as we are investing with Triansel Gas Limited in Koko, Delta State to establish a 5,000 Metric Tons per day LPG Storage and Loading Terminal Facility.
“In the Northern states, we supported Butane Energy Limited to establish LPG Bottling Plants and Depots in Abuja and 10 Northern States, just as we are investing with MOB Integrated Services for the construction of the 500 Million Tons Inland LPG terminal in Dikko, Niger State. The project will include the construction of a Cylinder Refurbishment plant, procurement of 80,000 bottles of LPG Cylinders, and acquisition of distribution assets.
“Another important partnership is with Southfield Petroleum to establish 200 million metric standard cubic feet of the gas processing plant at Utorogu, Delta State.
The project will produce 123,000 Million Tons Per Annum of LPG, about 10 percent of current LPG demand nationwide. In the same vein, the Board is collaborating with Amal Technologies to set up a plant in Abuja to produce Smart Gas/Smoke Detector Alarm devices”
Dr. Ginah reiterated that the Nigerian local content in the oil and gas sector has been raised to 54% and that the ongoing media parley is in line with sections 67 and 70 of the NOGICD Act.
“Just two weeks ago at the Practical Nigerian Content Workshop held at Uyo, Akwa Ibom State, our Executive Secretary, Engr. Simbi Kesiye Wabote announced that Nigerian Content performance for 2022 has increased to 54 percent, surpassing the 42 percent target that was set for the year.
“Our statistics also reveal that the average Nigerian Content performance in the last five years is 44 percent, which is also beyond the set targets. In sections 67 and 70 (n), the NOGICD Act mandates the Board to continually organize events and undertake public enlightenment activities to enhance the attainment of the goal of developing Nigerian Content. This is a key reason we have gathered here today, and this also explains why the NCDMB carries out robust engagements with diverse stakeholders in different sectors across the country”, Dr. Ginah added.
