Igwuruta (Rivers) – Netherlands-based Energy Ventures BV says it has commenced preparations for a project to convert flared gas into electricity and Liquified Petroleum Gas (LPG) across Nigeria.
The Chief Executive Officer, Mr Herbert Okibe, disclosed this on Monday after taking journalists on an inspection of the project site in Igwuruta, Ikwerre Local Government Area, Rivers.
Okibe said that the company’s Nigerian subsidiary, Africa Gas Technology Company Ltd., was developing the flare gas-to-power and LPG project, with the project commencing in the state.
He said that the project would utilise 5 million standard cubic feet of gas (scf) flared by companies daily to generate electricity and produce cooking gas for Nigerians.
“What we are trying to do is convert waste gas to sustainable energy for Nigerians who have been underserved,” he said.
Okibe said that the project was designed as a pilot to demonstrate the technical and economic viability of converting flared gas into useful energy.
He said that the plant scheduled to be built in Igwuruta, Rivers, would be the first of several similar projects planned for Nigeria and across the world.
According to him, Nigeria currently has more than 100 locations where about 5 million scf of gas are being wasted through flaring.
“Nigeria is the seventh-highest gas-flaring country globally. There is need to convert the wasted gas into useful energy,” he said.
Okibe said that if all the gas flared in Nigeria and around the world were gathered, it would be enough to power the whole of Africa.
He noted that gas had been flared in the country for more than 60 years, contributing to environmental pollution and respiratory health concerns.
The chief executive said that the project had received support from the Dutch and Nigerian Governments through funding and other assistance.
“President Bola Tinubu’s efforts to eliminate gas flaring in the country created an enabling environment for projects aimed at converting wasted gas into value,” he said.
Okibe said that the Petroleum Industry Act and other regulatory initiatives were supporting and encouraging the efforts to eliminate gas flaring and promote gas utilisation in Nigeria.
He disclosed that the project had completed its Environmental Impact Assessment following an approval by the Federal Ministry of Environment.
The official said that the project had also secured the regulatory approval from the Nigerian Midstream and Downstream Petroleum Authority.
According to him, the approval granted the company a licence to establish the gas plant.
The chief executive also revealed that Energy Ventures had received approval from the Port Harcourt Electricity Distribution Company to engage the Nigerian Electricity Regulatory Commission (NERC).
“We are seeking the necessary NERC permit before commencing full construction of the plant.
“We have currently commenced the physical preparations, with fencing of the project site already underway,” he said.
Okibe said that the project would require tens of millions of dollars in investment, with funding coming from private and public sources.
He said the Dutch Government and Nigerian Government, through the Midstream and Downstream Gas Infrastructure Fund, were supporting the project.
He, however, identified regulatory processes and weak electricity infrastructure as some of the challenges facing the project.
Okibe said that most of the existing power facilities were obsolete, noting that overloaded transformers and inadequate metering infrastructure were among the challenges that needed to be addressed.
“We are not shying away from the challenges, we are fully aware that they are there,” he added.
He expressed confidence that government agencies and host benefiting communities would continue to support efforts to overcome the challenges. (NAN)
