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Nigeria: FG, Remington Sign $700 Million MoU On Gas Gathering
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Jun 7, 2008 - 3:53:20 PM

The federal government and Kingdom of Bahrain– based M/S Remington International Resources Limited have signed a Memorandum of Understanding {M.O.U] on gas gathering in the Niger Delta region.

This M.O.U, which will see M/S Remington investing $700m in feasibility studies on gas gathering in the Niger Delta region, brings to two the M.O.Us government has signed on gas gathering this week.

The federal government had Wednesday signed a Memorandum of Understanding with Gazex-Suntera consortium for gas gathering in the onshore and offshore of South Eastern Niger - Delta.

The Minister of State for Energy, Chief Emmanuel Odusina who signed the M.O.U on behalf of the Nigerian government said it was part of concerted efforts by the present administration to harness the nation's gas reserves.

According to him, "It is the first time in the history of the country that the federal government will be focusing attention on gas".

Odusina who Thursday also signed the Memorandum of Understanding with M/S Remington International Resources Limited, said the M.O.Us are generic and would translate into commercial agreements that will harness the country's gas resources for domestic use. He explained that the signing of M.O.Us with foreign firms did not translate into rejection of indigenous companies, saying that Nigerians and Nigerian firms capable of handling the gas projects should come forward, as government's doors are open to them.

The president of M/S Remington International Resources Limited,E.J Mattern, said the project will cost his company between $600million to $700million and would be completed in two years.

"We have been in the United States,Canada,Venezuela and Egypt. We have a lot of experience to contribute to this country and instead of taking the resource out of the country, we will be developing it for the country," he assured.

Mattern said it is sad for Nigeria that its down stream sector lacked development.

Source: Leadership (Nigeria)