Deputy petroleum minister (gas) Ekperikpe Ekpo has commended Southfield Petroleum’s 200 million standard cubic feet per day gas processing plant.

Mr Ekpo said this on Tuesday at the groundbreaking ceremony of SPL held at the Utorogu gas processing plant site.

SPL is collaborating with the Nigerian Content Development and Monitoring Board to address Nigeria’s persistent gas supply shortfall for power generation and industrial growth.

He said the development of the 200 MMSCFD gas processing facility would stimulate significant capital inflow, create direct and indirect employment opportunities, and catalyse industrial growth across multiple sectors.

Mr Ekpo said that, from an environmental perspective, the plant would contribute meaningfully to Nigeria’s gas-flare reduction commitments and broader climate objectives.

The minister said that the project holds immense promise for the host community.

Mr Ekpo, however, said the Utorogu Gas Processing Plant represents a critical piece of infrastructure in our journey towards a gas-powered economy.

Deputy petroleum minister (oil), Heineken Lokpobiri, urged the community leaders to protect the facility with everything that they have.

Mr Lokpobiri said the economic impact of this project will be substantial, saying that it would generate direct and indirect employment opportunities.

Speaking at the ceremony, SPL’s managing director, Pius Aigbomeikhe Bawa, underscored the project’s strategic importance in supporting national priorities, including the federal government’s ‘Decade of Gas’ initiative.

He added that the Utorogu Gas Processing Plant would enhance domestic gas availability for power generation and industrial growth, and would support the government’s gas-flare-reduction initiatives.

Felix Ogbe, the executive secretary of NCDMB, said the investments would make significant contributions to the economic growth and development of the Niger-Delta and Nigeria as a whole.

According to him, the 200mmscfd gas processing facility to be developed here is designed to process wet gas from the OML 34 field, remove impurities, and produce valuable products, including liquefied petroleum gas.

“Propane and condensate, while also supplying lean gas into the domestic pipeline network.

He said when the processing plant is completed, it is expected to produce approximately 123,000 metric tonnes of LPG per annum. This will significantly improve domestic cooking gas availability and reduce reliance on LPG importation.

“Beyond LPG production, the project will also deliver about 22,000 metric tonnes of propane and 72,000 metric tonnes of condensate annually, thereby improving value extraction from Nigeria’s gas resources and strengthening the midstream value chain,” he said. 

(NAN)