Minister of state for petroleum resources, Timipre Sylva has disclosed Nigeria’s plans to become the highest producer of petrochemicals in the world through the implementation of the decade of gas development initiative.
The minister revealed this on Tuesday during the virtual Nigerian Gas Association (NGA) 2021 business forum and annual general meeting titled, ‘Petroleum Industry Act (PIA): Progress and Opportunities in the Decade of Gas’, NAN reports.
Sylva, represented by his technical adviser on gas business and policy implementation, Justice Derefaka, said Nigeria had 206.53 tcf of proven gas reserves as of January 1, 2021.
He stated that the declaration of 2021 to 2030 as the decade of gas initiative by President Muhammadu Buhari was aimed at transforming Nigeria into a gas-powered economy.
According to him, “The Decade Of Gas is a decade of elimination of gas flaring, a decade of more domestic Liquefied Petroleum Gas (LPG), and a decade of the fully gas-powered economy.”
“For us as a nation, natural gas is power. It is transport, as in natural gas vehicles (what is popularly known as Auto-gas).
“Gas is petrochemicals-feed stock. Gas is manufacturing and industries, it is also food, as components of gas are used to make fertiliser, helping to feed millions of people.
“The Nigerian agricultural sector, probably the largest Gross Domestic Product contributor to our economy, would benefit immensely from greater availability of fertiliser using gas as feedstock.
“Considering the low nitrate concentration in our soil, and gas being the key feedstock for nitrate-based fertilizer, developing the gas industry could contribute to enhancing our food security as a nation.
“The decade of gas initiative is to ensure Nigeria has the highest petrochemical production capacity in the world and to catalyse sufficient changes that will position Nigeria as the largest urea manufacturing hub in the world.”
The minister maintained that the goal could only be achieved through collaboration among all stakeholders while noting the government’s commitment to launch policies and programmes geared towards harnessing the nation’s gas resources for national development.
Sylva further expressed that the ongoing construction of the 614 kilometres Ajaokuta-Kaduna-Kano (AKK) pipelines and the NLNG Train 7 Project would deepen gas utilisation in the country.
He said the signing of the Petroleum Industry Act (PIA) by the president ended the regime of the oil and gas investments worth $15 billion lost annually by Nigeria.
“The PIA 2021 has created a critical foundation for the much-desired industrialisation and economic development of this country,” Sylva added.
“It also has generous incentives to enable development, distribution, penetration, and utilisation of gas.
“The PIA is part of the FG’s resolve and commitment to building a competitive & resilient petroleum industry that will attract investment, improve revenue base, create jobs and support the economic diversification agenda,” the minister said.
NAN
