Nigeria losing 500mmscf of gas daily due to power sector issues – NNPC GMD

The Nigerian National Petroleum Corporation stated on Monday that on a daily basis, over 500 million standard cubic feet of gas were being shut in by producers as a result of the problems in the power sector.

According to the corporation, the non-evacuation of electricity has resulted in shut-in of gas producer wells, adding that this was a critical challenge for Nigeria’s gas industry. The Group Managing Director, NNPC, Maikanti Baru, stated this in a keynote address at the Nigerian Gas Association’s 11th International Conference and Exhibition in Abuja.

“It is important to point out that due to the problems in the power sector, particularly transmission and distribution, the industry is forced to shut in over 500mmscfd of gas meant for the power sector that would have generated about 2,000 megawatts of electricity,” Baru stated. He said this challenge had necessitated discussions for electricity grid upgrade and captive power generation, among others.

Baru, however, noted that the demand for gas in the country was unprecedented, as the average gas production was in the region of 8.5 billion standard cubic feet per day. Baru, however, expressed hope that the new regulation and penalty on gas flaring would lead to a reduction in the volume of flared gas in Nigeria.

Source: The Punch

 

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