The Nigerian National Petroleum Company Limited (NNPCL) recently signed a deal with Indorama Energy Pte Limited. This agreement is all about supplying gas. In fact, NNPCL will provide about 800 million cubic feet of gas to Indorama. This is a big deal because it involves an investment of over $7 billion!
Gas supply is crucial for Indorama because they need it to produce fertilizer and urea, among other products. This partnership will help the national oil company improve its gas supply and support Indorama’s production needs.
Before the deal was signed, Mr. Mele Kyari, the Group CEO of NNPC Limited, spoke about the importance of this agreement. He mentioned that it aligns with the government’s plan to enhance domestic gas utilization in the country.
According to Mr. Kyari, the Petroleum Industry Act requires NNPCL to do everything possible to increase gas production and utilization. This means making gas available to industries that need it. By doing so, they can support the growth of industries, create more power, generate employment opportunities, and boost the economy.
NNPCL will work closely with Indorama to tap into their gas resources and produce the required amount of gas. They will also develop the necessary facilities to support industries like urea and fertilizer production. Additionally, they plan to establish a condensate reel refinery.