Energy

NNPC chief: Commercialisation of natural gas resources to boost economy

The group managing director of the Nigerian National Petroleum Corporation (NNPC), Mele Kyari, says the country needs to formulate the right policies in order to unlock its huge economic potential.

The Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), Mallam Mele Kyari, has said that the corporation was committed to the commercialisation of Nigeria’s abundant natural gas resources to support balanced economic growth and job creation across the country.

Kyari spoke in Kaduna at the signing of a Memorandum of Understanding (MoU) between the NNPC, the Aggregation Company of Nigeria (GACN) and the Kaduna State Government for utilisation and expansion of gas supply in the state.

He said the initiative was aimed at utilising the nation’s abundant gas resources.

According to him, the Ajaokuta-Kaduna-Kano (AKK) Gas Pipeline Projects would soon be completed to further boost the transmission of gas.

The utilisation and gas expansion project which is being facilitated by the Gas Aggregation Company of Nigeria (GACN) would ensure long-term involvement and support of Kaduna State Government and key gas sector players such as the Nigerian Gas Company (NGC), the Nigerian Gas Marketing Company (NGMC) and virtual pipeline companies to provide gas supply assurance to industries within the state on competitive terms.

Kyari who led a team comprising the Managing Director of GACN, Mr Olalekan Ogunleye, noted that Kaduna used to be a hub for industries, expressed the hope that the signing would help provide the gas needed for some of those industries to be revived.

He said, as the world transited to low carbon energy, the nation’s huge gas resources would continue to be an important source of clean energy for today and the future.

“There is no better way of making cheaper and cleaner energy than delivering gas into the domestic market,” he added.

According to him, the NNPC would continue to engage with stakeholders and partners to secure early markets and ensure that the economic benefits of the AKK gas pipeline were maximised.

“NNPC is leading this coordinated effort with state governments and private sector investors to develop demand framework for immediate and long-term gas supply solutions ahead of the completion of the AKK gas pipeline project,” Kyari said.

In his remarks, the Kaduna State Governor, Mallam Nasir Nasiru el-Rufai, said gas supply to the state would bring additional sources of energy for businesses and create job opportunities for residents of the state.

“We wholeheartedly welcome this project. Gas provides a cost-effective option for powering factories, homes and vehicles.

“For the Kaduna State Government, this project is a welcome boost to our investment and job creation strategy.

“It will create jobs and provide skills for artisans who will work on the gas pipelines and associated infrastructure,” el-Rufai said.

He added that besides job creation, “the project will power the industries that have responded with enthusiasm to our investment promotion campaign.”

“Let there be no doubt that the Kaduna State Government is committed to this MoU and the realisation of its goals in the interest of the people of Kaduna State,” the governor said.

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