NNPC, Seplat Enters Partnership To Boost Gas Delivery
Nigerian National Petroleum Corporation (NNPC) and Seplat Petroleum Development Company have signed Five agreements aimed at delivering about 3.4 billion standard cubic feet of gas per day by 2020.
The agreements signed as the AGPC Shareholders Agreement between the AGPC, NGPTC and Seplat; the AGPC Share Subscription Agreement between AGPC, NGPTC and Seplat; the Wet Gas Sales and Purchase Agreement between the NNPC, Seplat and AGPC; the Gas Sale and Purchase Agreement between the AGPC and Nigerian Gas Marketing Company; and the Gas Marketing Agreement between AGPC and NGMC.
The NNPC said the project, Assa North and Ohaji South gas development scheme, was one of the seven critical gas development projects that would boost gas production and infrastructure development.
NNPC’s Group Managing Director, Maikanti Baru, said a special purpose vehicle known as ANOH Gas Processing Company was being promoted by the corporation and Seplat to develop, build, operate and maintain the ANOH Gas Processing Plant, with an initial capacity of 300 million standard cubic feet per day in Imo State.
He said the NNPC would do everything possible to ensure that the project was successfully delivered.
Baru, according to a statement from the NNPC on Monday, urged the AGPC to work hard and deliver the project on schedule, within budget and to specification.
He said the gas processing plant was designed with a capacity to deliver between three billion and 3.4 billion standard cubic feet of gas daily.
“Following the execution of Heads of Terms by the Nigerian Gas Processing and Transportation Company on behalf of the NNPC, Seplat and AGPC on December 19, 2017, the steering committee for the AGPC project has provided the leadership and broad guidance for the development and finalisation of the various commercial agreements required to underpin the project,” Baru said.
The Chief Executive Officer of Seplat, Austin Avuru, described the ANOH Gas Processing Plant as a landmark project which captured the essence of the gas infrastructure development initiative of the Federal Government.
He expressed confidence that the AGPC would deliver the project within the next 18 months and achieve its objective of being a key gas supplier to both the domestic and export market.
The Nigerian Gas Processing and Transportation Company and the Nigerian Gas Marketing Company are all gas and power subsidiaries of the NNPC.
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