By Chibisi Ohakah, Abuja
Minister of Petroleum Resources, Timipre Sylva, has said that with the passage of the Petroleum Industry Act (PIA), as well as over $42billion worth of investment agreement signed by various Nigerian entities at the just concluded Intra-African Trade Fair (IATF) in South African, a number of new projects are expected in the Nigerian oil and gas industry in the coming year.
Sylvia who spoke at the ongoing 10th Practical Nigerian Content Conference with the theme “Driving the Nigeria Content in the Dawn of Petroleum Industry Act,” organized by the Nigerian Content Development and Monitoring Board (NCDMB) at its headquarters in Yenagoa, said there is hope for the Nigerian economy in 2021 alone.
Represented by the director of human Resources, Dr. Famous Eseduwo Seyeregha, the minister insisted that growing local content in the oil and gas sector to 70% by 2027 remained sacrosanct.
“We need new projects in the industry to increase our production, grow national revenues, engage the local supply chain, create more employment for Nigerians and promote national security,” he said.
The Nigerian National Petroleum Corporation (NNPC) Limited also revealed that there were possibilities that Nigeria would sign Final Investment Decisions on key upstream projects already in the pipeline by Shell, Eni, ExxonMobil, Chevron and others.
NNPC managing director, Malam Mele Kyari, who joined the event virtually, noted the level of challenges that energy transition might pose for the industry, especially in terms of investment and energy crisis.
On the other hand, the NNPC group general manager, National Petroleum Investment Management Services (NAPIMS), Bala Wunti, who was at the panel session of the forum, dropped a hint that key oil and gas projects were set for sanctioning in 2022.
These projects are estimated to cost around $100 billion, boosting the nation’s production by as high as 875,000 bpd and revenue by about $1.5 billion.
Some of the likely projects include Shell’s Bonga South-West and Aparo, which is expected to add about 225,000 barrels per day (bpd); Bonga North (100,000bpd); Eni’s Zabazaba-Etan (120,000bpd); Chevron’s Nsiko (100,000bpd); ExxonMobil’s Bosi (140,000bpd); Satellite Field Development Phase Two (80,000bpd) and Ude (110,000bpd).