SPL announces groundbreaking ceremony for Utorogu Gas Processing Plant

L-R: Dr Patrick Ndiomu, Chairman, Southfield Petroleum Limited, Senator Heineken Lokpobiri (Ph.D.), Minister of State for Petroleum Resources (Oil) Dr Abdulmalik Halilu, Director, Corporate Services, Nigerian Content Development and Monitoring Board (NCDMB), Ejiro Dortie - GM, Commercial Ventures Division, NCDMB, at the groundbreaking ceremony of Southfield Utorogu Gas Processing Plant, Delta State, on Tuesday.

SPL Utorogu Limited, an indigenous energy company focused on the development and operation of gas infrastructure assets in Nigeria, successfully held the official groundbreaking ceremony of its gas processing plant project in Utorogu, Delta State on Tuesday. The milestone event marked a significant step in Nigeria’s journey toward enhanced gas utilisation, energy security, and economic growth.

The project, designed as a state-of-the-art gas processing facility, is positioned to play a pivotal role in harnessing Nigeria’s abundant natural gas resources.
With a planned processing capacity of 200–300 MMSCFD, the plant is expected to produce key outputs including Liquefied Petroleum Gas (LPG), condensate, and autogas for domestic and industrial use.

Speaking at the ceremony, the Managing Director of SPL Utorogu Limited, Engr. Pius Aigbomeikhe Bawa, underscored the strategic importance of the project in supporting national priorities, including the Federal Government’s “Decade of Gas” initiative.
“This project represents a major step forward in the Federal Government’s commitment to gas commercialisation, reduction of gas flaring, and the advancement of Nigeria’s energy transition goals.
“It will not only strengthen domestic gas supply but also create sustainable economic opportunities for our host communities and the nation at large,” Bawa said.
He added that the Utorogu Gas Processing Plant would enhance domestic gas availability for power generation and industrial growth and support the Federal Government’s gas flare reduction initiatives.
Bawa said that it would generate employment opportunities during both construction and operational phases, and contribute to infrastructure development within the host community.
The project is being developed in collaboration with key industry stakeholders, regulators, and technical partners, ensuring alignment with best practices in safety, environmental sustainability, and operational excellence.
The groundbreaking ceremony brought together government officials, industry leaders, community representatives, and valued partners, all of whom reaffirmed their support for the successful delivery of the project.
SPL Utorogu Limited remains committed to executing the project efficiently and responsibly, with a strong focus on stakeholder engagement, local content development, and long-term value creation.
SPL Utorogu Limited is dedicated to advancing sustainable energy solutions in Nigeria through innovation, operational excellence, and strategic partnerships, with a focus on developing critical gas infrastructure assets.
Also speaking, Engr. Felix Ogbe, the Executive Secretary, the Nigerian Content Development and Monitoring Board, described the SPL Utorogu 200 million Standard Cubic Feet (SCF) per day Gas Processing Plant here in Utorogu, Delta State, as an auspicious event.

Ogbe said the event marks another important milestone in the Board’s collective drive to deepen Nigerian Content, expand domestic gas utilisation, and accelerate Nigeria’s transition to a gas-powered economy in line with the ‘Decade of Gas’ declaration.

“This project represents a partnership between the Nigerian Content Development and Monitoring Board and Southfield Petroleum Limited under the special purpose vehicle, SPL Utorogu Limited.

“This is, indeed, a reflection of the board’s commitment to promoting bankable investments that will make significant contributions to the economic growth and development of the Niger-Delta and Nigeria as a whole,” he said.

He said the board’s investment in this project aligns with our core mandate of promoting in-country value addition, developing indigenous capacity, and supporting strategic infrastructure that unlocks Nigeria’s vast gas potential.

He added that the partnership further demonstrates our resolve to move beyond policy advocacy into active participation in transformative projects.
Bawa said the 200mmscfd gas processing facility to be developed here is designed to process wet gas from the OML 34 field, remove impurities, and produce valuable products including Liquefied Petroleum Gas, propane and condensate, while also supplying lean gas into the domestic pipeline network.

“Upon completion, the plant is expected to produce approximately 123,000 metric tonnes of LPG per annum. This will significantly improve domestic cooking gas availability and reduce reliance on LPG importation,” he said.

Also speaking, the Minister of State for Petroleum Resources (Gas), Mr Ekperikpe Ekpo, said the plant would support Nigeria’s transition to a gas-based economy by reducing gas flaring and converting resources into commercially viable products.

Ekpo said the plant would help Nigeria make better use of its gas resources by reducing flaring and turning gas into useful products.
“The development of this facility will increase gas supply for power generation, boost industries and improve energy security in the country,” he said.

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