Seplat PLC’s Director of New Energy, Mr. Effiong Okon, has revealed the company’s intentions to construct a new $250 million gas plant in Sapele, Delta state, as part of its continuous investment in the oil and gas industry’s downstream sector.
According to The Times, Mr Effiong revealed this in the Nigeria Oil and Gas Outlook event in Lagos with the topic Investing in Nigeria’s Energy Future.
Effiong stated, “We are also starting a brand-new plant in Sapele, the Sapele gas plant – another $250 million investment that will deliver a lot of LPGs to the market,” during a panel discussion on the safe transition to gas-powered energy.”
He clarified that by December of this year, the company’s JV gas processing facility in Imo will be finished and prepared for commissioning by January 2024.
Speaking further, Mr. Effiong pointed out that the government should support policies and maintain a safe environment, but the private sector should spearhead investment in the oil and gas sector.
During the panel discussion, Felix Ekundayo stated that Nigeria needs a separate policy for each of its oil and gas components, noting that the name “gas” is a very broad phrase for the various components found in it.
“When we say petrol, we are very blind about what we mean,” he said. “Everyone is aware that petrol and diesel are kerosene, but that gas isn’t available to us.
Natural gas and LPG are the two main components of gas; within LPG, there are two types of gas: propane and butane. Nigeria must create a policy for each of these types of gas. A policy based on kerosene is ineffective for petrol.
Speaking about the necessity of local funding for downstream gas projects in Nigeria, he pointed out that foreign investments aren’t always dependable.