The federal government has commended Savannah Energy, a British independent energy company, for its significant investment in Nigeria’s energy sector.
During a recent visit to the Uquo Gas Central Processing Facility in Akwa Ibom State, Minister of Petroleum Resources (Gas) Ekperikpe Ekpo highlighted the government’s strategic focus on developing the gas sector to bolster the nation’s economy. He stated, “The president is very intentional about developing the gas sector to drive Nigeria’s economy. Our goal is to ensure that by 2030, the Nigerian economy will be driven by gas as part of the ‘Decade of Gas’ initiative.”
Savannah Energy’s investment has played a crucial role in enhancing domestic gas supply, currently supporting approximately 20% of Nigeria’s thermal power generation capacity. This aligns with President Bola Tinubu’s vision of positioning the gas sector as a vital component of the economy.
Since 2014, Savannah Energy, through its subsidiary Accugas Limited, has invested over $1.6 billion in gas processing and transportation infrastructure. The company is also committing an additional $45 million to enhance the compression system at the Uquo facility, ensuring reliable gas supplies.
Accompanying the minister, Managing Director of Savannah Energy Nigeria, Pade Durotoye, reaffirmed the company’s commitment to advancing the federal government’s strategy of using natural gas as a transition fuel in Nigeria’s path to net-zero emissions.
Savannah Energy’s focus has primarily been on the domestic market, with 80% of its gas supplied to thermal power generation companies and 10% to cement manufacturers. The government’s encouragement of sustained investment initiatives underscores its commitment to promoting private sector participation in the energy sector, aimed at increasing Nigeria’s energy production and reducing reliance on imported fuels.
Durotoye emphasized, “Accugas is investing an additional $45 million in a new compression system at the Uquo facility to ensure reliable gas supplies for years to come. This system will enhance gas export pressure and is expected to be operational later this year.”
