The Nigerian National Petroleum Corporation through its offshoot, the Nigerian Petroleum Development Company, has begun operations at its integrated gas handling facility in Edo State. This was made known on Monday.
Mansur Sambo, the Managing Director of NPDC, stated that the resumption of operations will help reduce the high rate of flared gas in Nigeria as the Oredo Integrated Gas Handling Facility (IGHF) can convert the commodity to revenue. He disclosed to journalists that the gas produced and sold domestically was paid for in naira. Gas buyers previously paid in dollars.
The Director stated that the project will enhance the income of the NPDC. It would also lead to an improvement in the environment as a substantial amount of gas would have been flared will now be utilized commercially.
The IGHF and the Liquefied Petroleum Gas Storage and Dispensing Unit in Ologbo, Edo State will be inaugurated today, 22nd of December by President Muhammadu Buhari. Although the project would be inaugurated today, the NPDC had already begun operations.
Sambo disclosed that the lifting of Gas is done mainly from Lagos, but with the kick-off of IGHF and Liquefied in Edo, traffic congestion will be eased in Lagos. This will also provide businessmen with a faster turnaround time. The gas produced from IGHF will also serve both the domestic and foreign markets, with NPDC now becoming the largest gas supplier to the domestic market.
‘The return on investment on this project is excellent and it may interest you to know that today, all the IOCs are looking for naira more than they are looking for dollar’, the director disclosed.
The facility will further help in reducing the pressure on the dollar. The director added that the sale of gas in naira from the IGHF would help grow the country’s foreign exchange reserve.
88 total views, 3 views today