…as NNPC/CNL Agrees on EGTL

The Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), Mr. Mele Kyari, has said that Chevron Nigeria Limited (CNL) will boost domestic gas supply in Nigeria when the agreement with the NNPC regarding Escravos Gas-to-Liquid (EGTL) project is concretised.

Kyari said this at the sign-off meeting between the two oil giants – NNPC and CNL, in Abuja.

He noted that the collaboration will see CNL boost the domestic gas market with 400MMScf per day gas supply, which he said is equivalent to 26% of total domestic gas supply in Nigeria.

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Also speaking at the meeting, the Chief Executive Officer of CNL, represented by the Director, NNPC/Chevron Nigeria Limited Joint Venture, Mr. Monday Ovuede, affirmed that the merger would amount to the expansion of opportunities for gas commercialization and monetization in the Oil and Gas Sector.

He maintained that the project will as well prioritise on the provision of a clean, environment-friendly energy, while giving the assurance of CNL’s “commitment to foster mutually beneficial relationship with the corporation in the energy sector”.

Meanwhile, the NNPC Acting Group General Manager, Group Public Affairs Division, Samson Makoji, had in a release previously issued, observed that the EGTL had the “potential to yield US$2billion yearly into the coffers of the Federal Government”.

Makoji acknowledged the roles of President Muhammadu Buhari and the Chairman, Senate Committee on Gas, Sen. Bassey Albert, noting that their commitment to the deal was the reason the agreements between the oil giants was being executed.

The agreements signed are: Sales and Purchase Agreement, Amendment to the Venture Agreement, the Settlement Agreement, Depository Agreement for Special Purpose Vehicle and Agreement for Power of Attorney to be given to CNL as the representative of the Sellers.