FG to Drive Energy Transition with 209trn ft³ Gas Reserves
The Federal Government (FG) says Nigeria’s 209 trillion cubic feet (ft³) of proven gas reserves have been positioned as the nation’s key asset for energy transition and economy diversification, Mrs. Olu Verheijen, Special Adviser to President Bola Tinubu on Energy, said in an interview with the news agency in Abuja on Sunday.
Verheijen, who was speaking on the second year anniversary of the Tinubu administration, said the government is leveraging the nation’s gas resources in diversifying the economy, achieving energy transition, and creating jobs.
She said the administration built on the Petroleum Industry Act through the Presidential Directives 40 to 42, improved fiscal terms and regulatory clarity to restore investors’ confidence. “This is evident by projects like the Betafield Final Investment Decision, which will supply 350 million scuffs per day of gas and many more projects like this to come,” she said
The Betafield project, specifically, is expected to produce 350 million standard cubic feet of gas per day
The project, along with others like the Ubeta, aims to enhance Nigeria’s domestic gas supply and its presence in the global energy market.
Verheijen said the administration’s reforms, including the presidential CNG initiative and LPG incentives, were enabling the displacement of diesel, firewood, and improving health while creating jobs.
“Our decade of gas is accelerating progress with 12 million homes now having LPG access, while infrastructure projects like OB3, AKK Pipeline, and the looping of ALPS are unlocking gas for power and industry.
“This aligns fully with our energy transition plan,” she said. The special adviser added that,, through presidential directives, the administration had improved fiscal terms, reduced the costs and timelines for delivering projects, and improved regulatory clarity.
She assured that more of the supply projects would be unlocked over the coming years as a result of those directives. Speaking on infrastructure required to connect supply to demand of gas, she said the government is ensuring completion of critical infrastructure projects such as the OB3, AKK pipelines and the ELPS looping.
“We have a fund within our midstream regulator called the Midstream and Downstream Gas Infrastructure Fund (MDGIF), which is to provide catalytic capital for much needed infrastructure for our midstream and downstream segments of the market.
“These investments and strategies are critical for unlocking gas for growth to power homes and industry.?,” she said Verheijen also assured that the administration is working towards meeting it’s ambitious target of 10 billion cubic feet of gas by 2030
“Our ability to unlock, not only onshore gas, associated gas, but non-associated gas from the deep water is critical to our ability to meet that long-term target of 10 BCF per day.
“Our continued improvement around security in collaboration with security agencies and the private sector operators of these assets will continue to curb theft and vandalism.
“This will ensure that every barrel or molecule produced makes it to the market,” she said. Verheijen said the country is currently producing between 1.5 and 1.7 million barrels of crude oil per day, with the aim to grow it to 4 million barrels in the long term.
To achieve the long term target, she said the administration’s bold policy reforms would ensure improved investors’ confidence and accelerate final investment decisions of critical deepwater projects. #FG to Drive Energy Transition with 209trn ft³ Gas Reserves CBN Cuts Rate on Mid Tenor Bills at Open Market Operations
