Nigeria signed an agreement with joint venture partners to supply gas to a proposed $3.5 billion Brass fertilizer and petrochemical facility, marking a significant step forward in the country’s efforts to generate income from its massive gas reserves, an official said on Friday.
According to the agreement, 270 million standard cubic feet of gas per day would be delivered to the facility at Brass, in the coastal state of Bayelsa, Nigeria, by joint venture partners Shell, TotalEnergies, and Eni.
The Gas Sale and Purchase Agreement is a component of the Brass Fertilizer and Petrochemical Project, according to Petroleum Ministry Permanent Secretary Nicholas Agbo Ella.
Laptops 1000Exports of petrochemicals and other gas-based goods are anticipated to bring in at least $1.5 billion a year.
“This agreement represents a significant milestone in our ongoing efforts to monetize Nigeria’s vast gas reserves,” Ella stated.
Nigeria, the continent’s leading energy producer, aims to develop its gas reserves, which total over 200 trillion cubic feet.
The goal is to eliminate routine flaring by 2030 and increase gas supply to power plants, industry, and exports.
“In addition to boosting exports, the project will reduce fertilizer imports by 30%, saving Nigeria approximately $200 million in foreign exchange annually,” Ella stated.
