05/12/2016 Press release
NNPC / TEPNG JV Commences Domestic Gas Delivery to Alaoji Power Plant, Nigeria
Lagos, Nigeria, December 04, 2016
The Nigerian National Petroleum Corporation (NNPC) / Total E&P Nigeria Limited (TEPNG) joint venture has commenced supply of gas to the Alaoji Power Plant owned by the Niger Delta Power Holding Company within the Eastern Grid Domestic Gas market.
This is following the completion and start up of the Obite-Ubeta-Rumuji pipeline (“O-U-R pipeline”) and the Northern Option Pipeline (“NOPL”) Projects by the NNPC/TEPNG Joint Venture in August 2016.
The O-U-R Pipeline is a 42-inch gas pipeline, extending 45 km from Obite to Rumuji in Rivers State and will transport both domestic and export gas. The NOPL project consists of a 50 km, 24-inch gas pipeline (together with two above ground installations) which starts at the Oil Mining Lease (OML) 58 in Rivers State and ends at the Owaza node in Abia State.
The NOPL has the capacity to provide up to 300 million cubic feet of gas to the Eastern Grid Domestic Gas market, with Alaoji Power Plant taking up to 100MMscf/d to generate electricity while other users of domestic gas take up the rest.
“The completion of these pipelines is an important milestone in the activities of Total in Nigeria. The NOPL is unique and strategic in meeting the Federal Government’s objectives of gas supply to the domestic market ”, said Nicolas Terraz, Managing Director/Chief Executive, Total E&P Nigeria Limited.
These two critical gas infrastructures are part of the ambitious OML 58 Upgrade initiative to increase oil and gas production, improve integrity of the facilities and eliminate flaring from the mature onshore field.
The Projects recorded remarkable achievements in terms of Nigerian Content Development, providing training and capacity for Nigerian youths in specialized skills and stimulating the local economy through the numerous contracts and employment opportunities created during and after the projects phase.
In addition, the projects have provided sustainable community development projects in the crucial areas of clean water and health care support infrastructure, roads, agriculture and small & medium enterprises.