Total lifts Nigeria’s gas output with $5.7b investment
Nigeria’s gas-to-power aspirations may be inching closer to realisation as the Total Exploration and Production Nigeria Limited (TEPNG) declared that its $5.7 billion Oil Mining Licence (OML58) upgrade projects would churn out massive gas supply by July 2016.
Specifically, the multinational oil company is planning to supply about 300 million standard cubic feet per day (mmscfd) of gas into the domestic market when it completed its numerous gas projects this year.
Besides, it disclosed that the world-class Egina deep offshore project is at advanced stage with first oil expected in middle of 2018.
The Managing Director, TEPNG, Nicolas Terraz, said the OML 58 Upgrade projects were essentially designed to boost gas supply for both industrial and domestic use, and increase deliveries to the Nigerian Liquefied Natural Gas (NLNG) in Bonny while meeting the Federal Government’s gas flare out policy.
The OML 58 upgrade projects include: Ogbogu Flow Station (OFS); Field Logistics Base (FLB); Obite Treatment Centre (OTC); O.U.R Pipeline; and the Nothern Option Pipeline (NOPL).
Terraz, who conducted journalists round the facility in the company of the Deputy Managing Director, Deepwater District, Ahmadu-Kida Musa, and Project Manager, Kayode Akiode, among others, said: “Total has every confidence in the development of Nigeria’s domestic gas and will remain an active participant in the sector and the export market,”
Akiode said the 42 inch by 45 kilometre OUR pipeline, which is presently at about 94 per cent completion, would be completed by July.The Obite new gas train would increase gas production from 10.56 million standard cubic feet per day (mmscfd) to 15.65 mmscfd.
Also, the 24 inch by 50 KM Norther Option Pipeline (NOPL) and two above-ground installations, located in Owaza, Abia State, is expected to deliver 100 million cubic feet of gas per day to the Alaoji power plant and also supply the Nigerian Gas Company and onward to the domestic market.The project is about 97 per cent completed and also expected to be commissioned by July 2016.
According to Akiode, the projects would enhance the flare out policy of the federal government and lift the economies of the host communities and the country at large.
Already, he said its contribution to the local content agenda is enviable, as both OUR and NOPL projects have exceeded the target, doing 79 per cent and 91 per cent local participation respectively.On human capacity development, he said about 247 community youths were trained and 4000 were employed at the peak of the project.
He explained that the youths were trained abroad and in Nigeria on machining, welding, pipe fitting, scaffolding and instrumentation.
Giving update on other Total project, Ahmadu-Kida said Akpo Floating Production and Offload (FPSO) achieved a seven-year of operations without Lost Time Injury (LTI) on 29 March this year, while it is presently producing145,000 barrels per day, gas expert of 300mmscfd and domestic gas injection of 220mmscfd.