Chevron, Others Sign Gas Sale Pact

Chevron Nigeria Limited has signed a gas sale and aggregation agreement with Olorunsogo Generation Company Limited, Niger Delta Power Holding Company Limited and Gas Aggregation Company Nigeria Limited.

The firm said the agreement would enable it to supply on an interruptible basis, a daily contract quantity of 0-63,000MMbtu/d of natural gas to Olorunsogo Generation Company Limited.

In a statement signed by the General Manager, Policy Government and Public Affairs, Chevron Nigeria Limited, Esimaje Brikinn, the firm said the Olorunsogo generation plant in Ogun State is an existing NDPHC electricity generation project designed to supply power of about 750MW into the national grid.

He said it was also designed to support the Federal Government’s drive to develop the power sector and grow the Nigerian economy.

“Natural gas is the feedstock of the Olorunsogo generation plant. The GSAA for the supply of the major input needed to run the power generation plant is another demonstration of the NNPC/CNL JV’s commitment to the domestic gas market,” he added.

CNL’s Director, Downstream Gas, Mr Sanjay Narasimhalu, was quoted as saying that the NNPC/CNL JV was currently the largest and most on-spec supplier of gas to the domestic market.

He stated that the JV continued to collaborate extensively with other stakeholders in finding creative solutions to issues relating to the domestic gas market.

According to him, the NNPC/CNL JV is committed to supporting the Federal Government’s policy to boost local industries.

The MD, NDPHC, Mr Chiedu Ugbo, was also quoted as saying the NDPHC was committed to continuing in its drive to find lasting solutions to the power generation challenges in the country.

Corroborating the positions of the other partners, the Managing Director of GACN, Mr Morgan Okwoche, said the firm would continue to collaborate with relevant stakeholders in proffering working solutions to issues around the domestic gas market value chain.