Gas Revolution - FG to Spend U.S.$5.3 Billion in Four Years

Abuja — Following the recently launched "gas revolution" by President Goodluck Jonathan, an estimated $53 billion is expected to be spent on critical gas infrastructure within the next four years.

The group managing director of the Nigerian National Petroleum Corporation (NNPC), Engr. Austen Oniwon, announced this at the opening of the event to mark the commemoration of the first anniversary of the signing into law of the Nigerian Content Act yesterday in Abuja.

"Sequel to the gas revolution recently launched by Mr. President, an estimated cost of $53b is expected to be spent between the next three to four years on the establishment of three green field refineries, a world-class petrochemical plants, fertilizer plants methanol, plants, gas-processing facilities as well as other gas related infrastructure," he said.

Oniwon scored the Nigerian Content Development and Monitoring Board (NCDMB) high on its performance in the last one year.

He urged the board to ensure that the past trend where little or no contribution of local content was seen in the industry should change, so that sizable amounts of annual industry spend would be domiciled in Nigeria.

"It is expected that the past trend where little or no contribution of local content is seen in the industry should change automatically, in such a way that a sizable amount of annual industry spend is domiciled in Nigeria," he said.

While pledging the NNPC's support to the content board, Oniwon urged the IOCs and local service providers to invest in capacity building and establish new facilities and infrastructure with a view to ensuring a robust critical capacity that would support the industry in the long term.

In her key note address, Minister of petroleum resources, Mrs. Diezani Alison-Madueke, noted that the one year implementation efforts of the NCDMB has rekindled the country's fillip to create capacity in human, infrastructure, facilities and other areas required to execute increased activities in Nigeria, thereby retaining higher value in Nigeria from industry operations.

"In this way, we are bringing back Nigerian jobs which have been exported to foreign economies for a very long time at the expense of our national economic development," she said.

She urged the industry to work with government and community leaders to sustain the amnesty program, noting that the strategy is already ensuring access to the oil fields with consequential boost in oil production and opening up the industry for new projects and investments, on which the aspirations on Nigerian Content could be further realized.

In his welcome address, Executive Secretary of NCDMB, Engr. Ernest Nwapa, said the content development fund has been successfully launched, and assured that the board would ensure that appropriate remittances are made to it, by the IOCs. He said the board has been engaged in collaboration and dialogue with stakeholders to implement intervention programmes necessary to promote equipment ownership by Nigerians.

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The amnesty program is only a bandage to helping fix the problem in the Niger Delta. More work has to be done to deal with the high levels of unemployment, infrastructure investment as well as resource control among the the different Niger Delta communities. That is the only way the problem in the Niger Delta can be solved.

I have so many (-)s to say about this thread, but I dont have time this morning.

$4.3b in four years. . . .

Fresh Air 2011 indeed.

The gas revolution will have direct positive impact on the Niger Delta and the nation at large. If we can get this right, Nigeria will be on is on its way to its rightful place: to be among the world's largest economies.

efisher:

The gas revolution will have direct positive impact on the Niger Delta and the nation at large. If we can get this right, Nigeria will be on is on its way to its rightful place: to be among the world's largest economies.

That is a very big IF. Our reliance on our mineral resources does not help improve citizenry. It only enriches a few rich elite. We should work on the service aspect of our ancestry. We should find our niche. India has call centers, China has a large manufacturing base, what does Nigeria have?

Since I see a lot of Nigerians going into the sciences, maybe we should focus in that area. How many Nigerians have you seen as doctors and pharmacist?