The Assa north/Ohaji south gas project being developed in Imo will be able to produce 600 million standard cubic feet of gas per day, the energy equivalent of about 2400 megawatts which is enough to provide uninterrupted electricity to about 2.4 million homes.
Osagie Okunbor, managing director of The Shell Petroleum Development Company of Nigeria Limited (SPDC), made this known on Monday while speaking on Monday at the media launch of the 2019 edition of the Shell in Nigeria Briefing Notes.
The briefing notes are an annual publication detailing the activities of the business interests of the global energy giant in Nigeria covering SPDC, Shell Nigeria Exploration and Production Company (SNEPCo), Shell Nigeria Gas and the Nigeria Liquefied Natural Gas.
Giving a breakdown of the gas production, Okunbor said 300 million standard cubic feet of gas per day would be processed at a new gas processing plant owned by the SPDC joint venture while the remaining 300 million will go to a proposed gas processing plant by SEPLAT Petroleum.
“The project would be a major game-changer in Nigeria’s quest for energy sufficiency and economic growth as we look to grow the domestic gas market.”
Speaking at the event, Igo Weli, SPDC’s general manager external relations, said Shell is transforming to a gas-oriented business and currently accounts for about 10% of Nigeria’s domestic gas most of which is used for power generation.
The Assa North/Ohaji South Gas Development Project ranks top among the Federal Government’s Seven Critical Gas Development Projects aimed at accelerating Nigeria’s aspiration for energy sufficiency and diverse industrial growth.
According to the briefing notes SPDC and SNEPCo paid N515.14 billion to the federal government in 2018 in taxes, royalties and levies while contracts worth N393.94 billion were awarded to Nigerian companies.