Yemisi Izuora
Oil major Total Exploration and Production Nigeria Limited (TEPNG) has said that its $5.7 billion Oil Mining Licence (OML58) upgrade projects would start massive gas supply by July 2016.
About 300 million standard cubic feet per day (mmscfd) of the gas is meant for domestic market after the company completes various gas projects this year.
Besides, it disclosed that the world-class Egina deep offshore project is at advanced stage with first oil expected in middle of 2018.
The Managing Director, TEPNG, Nicolas Terraz, said the OML 58 Upgrade projects were essentially designed to boost gas supply for both industrial and domestic use, and increase deliveries to the Nigerian Liquefied Natural Gas (NLNG) in Bonny while meeting the Federal Government’s gas flare out policy.
The OML 58 upgrade projects include: Ogbogu Flow Station (OFS); Field Logistics Base (FLB); Obite Treatment Centre (OTC); O.U.R Pipeline; and the Nothern Option Pipeline (NOPL).
Terraz, said: “Total has every confidence in the development of Nigeria’s domestic gas and will remain an active participant in the sector and the export market,”
The 42 inch by 45 kilometre OUR pipeline, which is presently at about 94 per cent completion, would be completed by July while the Obite new gas train would increase gas production from 10.56 million standard cubic feet per day (mmscfd) to 15.65 mmscfd.
Also, the 24 inch by 50 KM Norther Option Pipeline (NOPL) and two above-ground installations, located in Owaza, Abia State, is expected to deliver 100 million cubic feet of gas per day to the Alaoji power plant and also supply the Nigerian Gas Company and onward to the domestic market.
The project is about 97 per cent completed and also expected to be commissioned by July 2016.
The projects would enhance the flare out policy of the federal government and lift the economies of the host communities and the country at large.