Shell, NNPC, Others Take FID on 10-Year Gas Supply to Dangote Fertiliser Plant

The Shell Petroleum Development Company of Nigeria Limited (SPDC) and its joint venture partners comprising the Nigerian National Petroleum Company Limited (NNPCL), TotalEnergies EP Nigeria Limited, and Nigerian Agip Oil Company (NAOC) have taken the final investment decision (FID) to build a dedicated upstream facility to supply 100 million standard cubic feet of gas per day to Dangote Fertiliser and Petrochemical Plant for 10 years.

Dangote Fertiliser and Petrochemical Plant is situated at the Lekki Free Trade Zone, Lagos State.

Managing Director of SPDC and Country Chair, Shell Companies in Nigeria, Mr. Osagie Okunbor, disclosed this at the weekend in Port Harcourt, Rivers State, according to a statement issued on Sunday, by the company’s Media Relations Manager, Abimbola Essien-Nelson.

Okunbor described the FID as a significant step in supporting the Nigerian government’s ‘Decade of Gas’ ambition. SPDC is the operator of the joint venture.

“This investment decision is a critical step in pursuing the development of the gas-rich Iseni field, which is part of the Okpokunou Cluster in Oil Mining Lease 35 located in Sagbama Local Government Area of Bayelsa State,” Okunbor said.

He added that SPDC and its joint venture partners remained committed to Nigeria’s ‘Decade of Gas’ ambition and, particularly, the domestic gas agenda.

According to Okunbor, increasing the delivery of natural gas to the domestic market is key to accelerated industrialisation and economic development of Nigeria.

The FID signals a positive step towards the construction of the required infrastructure for the project that is expected to create jobs through direct and indirect employment.

Dangote is reputed to be Africa’s largest granulated urea fertiliser complex and produces around 65 per cent of Nigeria’s domestic fertiliser requirements.

The project will supply gas which will enhance the Dangote Fertiliser and Petrochemical Plant’s ability to deliver on its promise to the Nigerian people and government.

Peter Uzoho

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