Chi­nese banks be­gin fund­ing oil, gas projects in Nige­ria

Daily Trust - - NEWS - By Daniel Adugbo

Chi­nese banks have made com­mit­ments to bring in as much money needed to fi­nance oil and gas in­vest­ments in Nige­ria, Group Manag­ing Di­rec­tor of the Nige­rian Na­tional Petroleum Cor­po­ra­tion (NNPC), Maikanti Baru, has said. Baru dis­closed this when a del­e­ga­tion of the Nige­rian Gas As­so­ci­a­tion (NGA) led by its pres­i­dent, Engr. Dada Thomas, paid him a cour­tesy visit in Abuja.

A state­ment on Fri­day by NNPC spokesman Ndu Ughamadu, said the GMD re­ceived the com­mit­ment from the Chi­nese banks at a re­cent meet­ing in Lon­don where, for the first time, the Chi­nese con­trib­uted $250 mil­lion to­wards a Nige­rian gas project.

“If the Chi­nese tell you that they are go­ing to do it, def­i­nitely they will do it and we will give them a run for their money,” Baru said in the state­ment.

The NNPC helms­man also un­veiled plans by the cor­po­ra­tion to ex­pand gas gen­er­a­tion and dis­tri­bu­tion na­tion­wide to 10 gi­gawatts (GW) by 2020.

The GMD said the cur­rent ef­forts to con­nect the eastern part of the coun­try, where there are a lot of gas re­serves, with the west, where high con­sump­tion de­mand ex­ists, demon­strated NNPC’s readi­ness to im­pact pos­i­tively on the power sec­tor.

Dr. Baru stated that a lot has been achieved in the con­tract­ing process of the $2.7 bil­lion Ajaokuta-Abuja-Kaduna-Kano pipe­line project, dubbed AKK Pipe­line Project.

He ex­plained that the feat recorded in the project would bring to the fore, a new di­men­sion in gas projects’ ex­e­cu­tion in the coun­try.

He said an­other project that would in­crease gas con­sump­tion in the coun­try was the Ogidig­ben Gas In­dus­trial City project which, he said, NNPC was com­mit­ted to see­ing it come to fruition.

Speak­ing dur­ing the visit, NGA Pres­i­dent, Engr. Dada Thomas, ap­plauded the GMD for the new al­ter­na­tive fund­ing re­cently signed with Shell and Chevron to the tune of $1.78 bil­lion, the Clear­ing of $400 mil­lion debt in April, the progress be­ing made on the Elf 2loop lines and the OB3 gas project, one of the most crit­i­cal gas pipe­lines in the coun­try.

From left: Manag­ing Di­rec­tor, 11PLc, Mr Tunji Oye­banji; Ex­ec­u­tive Di­rec­tor, Com­mer­cials, Nige­rian Petroleum Mar­ket­ing Com­pany [NPMC], Mr Billy Okoye; Manag­ing Di­rec­tor, NIPCO Plc, Mr Sanjay Teo­tia; Group Manag­ing Di­rec­tor, NIPCO Plc, Mr Venkatara­man Venkat­a­p­a­thy and MD, NPMC, Mr Umar Ajiya dur­ing an in­spec­tion visit to the com­pany in Apapa, Lagos re­cently.

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