Good News as FG is Set to Commence Multi-billion-dollar Gas Project
- The federal government is set to execute the gas supply and purchase agreement for the Brass methanol project
- The project is constructed in Bayelsa State and funded by Brass Fertilizer & Petrochemical Company Limited
- Minister of State Petroleum Resources (Gas) Ekperikpe Ekpo announced the date of execution for the gas supply
Legit.ng journalist Zainab Iwayemi has over three years of experience covering the Economy, Technology, and Capital Market.
The federal government has declared that the gas supply and purchase agreement to support the final investment decision for the $3.8 billion Brass methanol project will be executed in May 2024.
Source: UGC
The Brass Methanol Project is being constructed in Bayelsa State to use natural gas resources to generate methanol, a crucial industrial chemical. At the moment, all of Nigeria's methanol is imported.
The Brass methanol project, funded by Brass Fertilizer & Petrochemical Company Limited, consists of several facilities, including a gas processing plant, a methanol production and refining plant, and facilities for product export.
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The facility, situated at Brass Island, Bayelsa, is currently under construction but is projected to be active this year. When finished, it will have a daily capacity of 10,000 tonnes of methanol.
DSV Engineering Limited, the Nigerian National Petroleum Company Limited, and the Nigerian Content Development & Monitoring Board are partners in this project.
Project to enhance the economy
By lowering dependency on imports, the $3.8 billion project is expected to enhance Nigeria's economy and generate up to 15,000 jobs during construction.
Following a meeting with essential project stakeholders in his office on Wednesday, the Minister of State Petroleum Resources (Gas), Ekperikpe Ekpo, announced the execution date for the gas supply agreement in Abuja.
According to a statement released by Ekpo's media assistant, Louis Ibah, the purpose of the meeting was to ensure that the NNPC/Shell/TotalEnergies/NAOC Joint Venture was providing enough gas supply for the Brass methanol project.
According to him, the meeting's other objectives included deciding how to finish and carry out the GSPA and develop the project's phase-2 gas supply.
According to a Leadership report, the minister stated that the President has a strong desire for the project to begin as soon as possible to attract the much-needed foreign direct investment and the ensuing economic advantages for the nation.
Project to be executed soon
Ekpo declared after the meeting that he had effectively handled the GSPA issue and that it would be implemented by May 2024.
The minister stated:
“The NNPC/SPDC JV partners are now fully committed to uninterrupted gas supply for the development of the Brass methanol project.”
FG announces completion date of gas project
Legit.ng reported that the $700 million Obiafu/Obrikom/Oben gas pipeline, often known as OB3, is scheduled to be finished in March 2024, according to a Federal Government announcement made on Tuesday.
This was declared during the ongoing 7th Nigeria International Energy Summit in Abuja. The construction of the project began in 2016.
Ekpo gave a couple of status reports on Nigeria's gas industry at the summit.
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Source: Legit.ng
