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Gas-To-Power: FG Rallies IOCs, Indigenous Operators

Submitted by LEADERSHIP EDITORS on May 21, 2012 - 3:44am

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The Minister of Petroleum Resources, Mrs Diezani Alison-Madueke, has reassured of an increased gas supply to facilitate power generation in the country through the implementation of the on running 12-month gas emergency supply time line aimed at the speedy expansion of the country’s gas-to-power capacity.

She gave the assurance at the weekend when she led a team of experts and other stakeholders in the oil and gas industry on a tour of the Utorogu Gas plant in Delta State. The minister who also undertook a tour of some gas production related facilities operated by some major indigenous service providers in the state said the drive to ensure adequate gas supply for power needs has reached an irreversible path.

While pledging the Federal Government’s commitment to work with the International Oil Companies (IOCs) to meet the nation’s gas to power aspirations, Alison-Madueke, in a statement issued in Abuja yesterday, noted that such goal could only be attained if the oil majors work in concert with local service providers.

``We can only build a reliable oil and gas sector through the effective participation of competent Nigerian service providers and operators.

Thank God the IOCs and the indigenous companies and some Nigerian professionals are already keying into this opportunity made possible by the Nigerian Content Act,’’ she said.

The visit to the Shell operated Utorogu Gas Plant marked the commencement of a week long tour of all gas installations and projects listed for the production of additional gas under the Gas Supply Emergency Programme.

Also expressing optimism on gas supply, Mutiu Sunmonu Managing Director, Shell Petroleum Development Company (SPDC) informed that the company has taken adequate steps to improve gas supply to the nations power plants, adding that Shell was already keying into the 12 months gas emergency plan meant to boost power generation.

He informed that the current average production of the plant is 250 million metric standard cubic feet (mmscf)while work was ongoing at a new plant designed to increase capacity to about 510 mmscuf per day, which would have significant increase in power generation.