Posted by Xinhua News Agency on
The Nigerian government is planning to invest 360 million US dollars for expanding its gas sector to meet the development of the national economy, local newspaper Vanguard reported Wednesday.
LAGOS, Aug. 3 (Xinhua) -- The Nigerian government is planning to invest 360 million US dollars for expanding its gas sector to meet the development of the national economy, local newspaper Vanguard reported Wednesday.
Funsho Kupolokun, group managing director of the state-run Nigerian National Petroleum Corporation (NNPC) was quoted as saying that the expansion scheme was aimed at meeting the gas requirement of the Aluminum Smelter Company of Nigeria (ALSCON) in southern Nigeria, which is expected to resume production soon, and some other metal companies.
"The government has resolved to bring ALSCON and other metal companies back on stream through privatization, hence, huge investment in the company," Kupolokun said.
"Under the incoming management which has the attribute of an outstanding investment record, it is my belief that ALSCON will realize its full potentials, provide employment opportunities, generate foreign exchange and meet the local demand for aluminum," he added.
According to the group managing director, the NNPC will meet the gas requirement of ALSCON from 8 billion cubic feet (bcf) in 2006 to 50 bcf in 2010 and as such is committing the sum of 160 million dollars to develop the needed infrastructure.
The NNPC is also planning another 200 million dollar investment through the Joint Venture partnership between the NNPC and the Shell Petroleum Development Company to satisfy ALSCON's ultimate demand of over 100 million standard cubic feet per day (MMscf/d) with a start- up intake of 20 MMscf/d.
Nigeria, the largest oil producer in Africa or the sixth largest oil exporter in the world with a daily crude output of over 2.5 million barrels, is more of a gas producer than an oil- rich nation with gas reserves running into about 160 trillion cubic feet.
Source: Xinhua News Agency - CEIS
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