The Federal Government, through the steering committee of Nigerian Gas Flare Commercialisation Programme (NGFCP), has commenced prequalification of over 250 companies that have submitted their expression of interest to bid for 178 flaring points across the various crude oil production fields in the country.
The NGFCP was launched in December 2016, with the aim of eliminating the flaring of gas in Nigeria’s oil fields as part of an aggressive diversification effort with a concentrated focus on gas. The Federal Executive Council approved the NGFCP in recognition of the fact that flared gas could be harnessed to stimulate economic growth, drive investments and provide jobs in oil producing communities and indeed for Nigerians through the utilization of widely available innovative technologies. This coupled with the ongoing oil price volatility; in-country energy insecurity and the potential market for gas as a preferred industrial fuel all accentuate the need to utilize the country’s ample gas resources.
The NGFCP which is headed by Engineer Rabiu Sulaiman, is made up of members from the Ministry of Petroleum Resources, Nigerian National Petroleum Corporation (NNPC), Department of Petroleum Resources (DPR) and Nigeria Extractive Industries Transparency Initiative (NEITI).
The evaluation process was attended by International Oil Companies (IoCs) and local industry players and is expected to be completed in a month.
Speaking at the opening ceremony, DPR Deputy Director, Gas, Olusanya Bajomo, said about 250 companies that have expressed interest will be evaluated. “Those who make it technically and financially will proceed to the next phase,”.
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