Breaking News
Translate

Flared gas capable of generating 28,700 GWH of electricity

Kindly Share This Story:

Nigeria burns N281bn in 6 months, as oil firms flare 228.8bscf of gas

***Gas flaring dips by 23.8% to N379bn in 10 months

By Michael Eboh

As the age-long battles over gas flaring in Nigeria’s oil industry seem intractable, a total of $1 billion, about N379 billion, has been recorded as the cumulative value of gas lost to the recorded incidents in 10 months of this year.

The industry data available to Energy Vanguard shows that oil and gas firms operating in the country flared 286.8 billion standard cubic feet, SCF, of gas between January and October 2020.

However, according to gas flare data obtained from the National Oil Spill Detection and Response Agency, NOSDRA, the volume of gas flared in the 10-month period was 23.84 per cent lower than the 376.6 billion SCF, BCF, of gas valued at $1.3 billion, about N492.7 billion, flared in the same period in 2019.

The NOSDRA report added that the volume of gas flared from January to October 2020 attracted penalties of $573.5 million, about N217.36 billion.

It noted that the flared gas was equivalent to 15.2 million tonnes of carbon dioxide, C02, emissions and capable of generating 28,700 gigawatts per hour, GWH, of electricity.

In comparison, the volume of gas flared from January to October 2019 attracted penalties of $753.2 million, about N285.46 billion.

According to the report, the flares are equivalent to carbon dioxide emission of 20 million tonnes capable of generating 37,700 GWH of electricity.

The onshore and offshore breakdown of the flaring, according to the report, show that companies operating onshore accounted for 57.78 per cent of total gas flared in the first ten months of 2020, with 165.7 BCF of gas valued at $580.1 million or N219.86 billion.

The penalties payable by the companies operating onshore stood at $331.5 million, about N125.64 billion, while it has power generation potential of 16,600 GWH and is equivalent to 8.8 million tonnes of C02 emissions.

ALSO READ: FG inaugurates committee on provision of health insurance for retirees, elderly

This was in comparison to the 188.5 BCF of gas flared onshore in the same period in 2019, valued at $659.9 million, about N250.1 billion, while the C02 emissions of 10 million tonnes and power generation potential of 18,900 GWH were recorded.

On the other hand, offshore oil and gas firms caused the country a loss of $423.5 million, about N160.51 billion between January and October 2020, with the flaring of 121 BCF of gas in the ten-month period.

The penalties payable by the offshore companies is $242 million, about N91.72 billion, while C02 emission equivalent of 6.4 million tonnes with power generation potential of 12,100 GWH of electricity was recorded.

In comparison, 188 BCF of gas was flared in the first ten months of 2019, valued at $658.2 million, about N249.46 billion, while C02 emission equivalent was 10 million tones and penalties payable was put at $376.1 million, with power generation potential at 18,800 GWH of electricity was recorded.

On a month-on-month basis, the report noted that in January, February, March, April, May, and June 2020, 38.54 BCF of gas, 32.02 BCF, 35.8 BCF, 39.49 BCF, 38.88 BCF and 29.05 BCF of gas were flared respectively, while 18.34 BCF, 24.77 BCF, 8.29 BCF and 21.45 BCF of gas were flared in July, August, September and October 2020, respectively.

According to the NOSDRA report, some of the defaulting companies in the onshore fields are Chevron from Oil Mining Lease 54; Shell Petroleum Development Company from OMLs 11, 13, 14, 26, 28, 40 and 49; Nigerian Agip Oil Company, from OMLs 62 and 63; Moni Pulo Limited, from Oil Prospecting Licence, OPL, 230; Elf Petroleum Nigeria, OML 56; and Summit Oil International, OPL 205 among others.

NOSDRA list of the offshore defaulting companies are Esso Exploration and Production Nigeria, from OPL 209; Nigerian Agip Oil Company OPL 316; Shell Nigeria Exploration and Production Company, from OPL 212; South Atlantic Petroleum, from OPL 246; Elf Petroleum, OPL 222; Chevron Nigeria, from OML 95; and Mobil Producing Nigeria from OML 70 among others.

Vanguard News Nigeria

Kindly Share This Story:
All rights reserved. This material and any other digital content on this platform may not be reproduced, published, broadcast, written or distributed in full or in part, without written permission from VANGUARD NEWS.

Disclaimer

Comments expressed here do not reflect the opinions of vanguard newspapers or any employee thereof.
Do NOT follow this link or you will be banned from the site!