NNPC, Partners To Construct First Methanol Processing Plant In N’Delta

Plans by the Nigerian National Petroleum Corporation (NNPC) and its partners to construct a $3 billion methanol-processing plant in the Niger Delta, the first of its kind in the country, have reached a top gear.
The project, jointly owned by the NNPC, the Nigerian Local Content Management Board (NLCMB) and DSV Engineering Ltd., will process approximately 14 trillion cubic feet of gas from oil fields around Brass area, the Niger Delta region when completed.
According to available information, the Minister of State for Petroleum Resources, Chief Timipre Sylva, said that Shell Petroleum Development Company (SPDC) would provide the gas feedstock to the plant.
Sylva said, “this project signifies the Federal Government’s effort to maximise value and monetise Nigerian vast natural gas endowment.”
He further said, “the project will have significant economic and development impact on the country, including revenue generation and import substitution for the methanol needs of the country that is currently 100 per cent imported.”
On his part, Managing Director, NNPC, Mr Mele Kyari, stated that the plant, expected to be completed by 2024, would create job opportunities and generate income, following a reduction in domestic oil output and associated government revenues.
According to him, “the project will create 30,000 direct and indirect jobs during construction and about 5,000 jobs during operation,”.
Kyari said, the domestic demand for natural gas was projected to rise from 1.5 billion cubic feet per day (Bcf/d) to 7.4 Bcf/d by 2027, corresponding to the country’s efforts to boost gas monetisation and production.

By: Tonye Nria-Dappa