The Federal Government and Gazex-Suntera consortium yesterday signed a memorandum of understanding for gas gathering in the on-shore and off shore of South Eastern Niger-Delta.
The minister of state for energy, Chief Emmanuel Odushina, who signed the MoU on behalf of the Nigerian government, said it was part of concerted efforts by the present administration to harness the nation's gas reserves.
"It is the first time in the history of the country that the Federal Government will be focusing attention on gas. And the areas of attention have been outlined by President Umaru Yar'Adua," he said.
Odusina also listed the country's critical gas areas as domestic, export and projects involving neighboring countries such as the West African Gas Pipeline Project and the Trans Saharan Gas Pipeline Project, however he stressed that of all these areas what is critical to Nigeria is the domestic gas.
"Domestic gas is critical because it benefits our economic growth" he said
The minister said the present administration has an open policy on gas investment and would welcome any company which is genuinely committed and competent to handle different aspects of the nation's gas sector.
The leader of Gazex Suntrea consortium, Mr.Shiv Vikram Khemka who signed on behalf of Gazex said the signing of the MoU was the beginning of the road map to developing Nigeria 's gas sector.
According to him, Gazex produces 12.5 cubic metres of gas a year and has the capacity for the Nigerian project. "We will be very committed to this MoU and we will bring in the best people. We have been active now for 50 years in Russia and we will work towards achieving the same status in Nigeria " he said
On the issue of gas flaring, Senator Nimi Barigha Amange,a member of the senate committee on petroleum disclosed that a law prohibiting gas flaring in the country presently before the senate will be ready in three months.
"The motion on the floor today (yesterday) was how to stop gas flaring, within three months there will be a law to stop gas flaring the power sector depends on gas so it will be unfair to say we don't have gas to run out turbines" he said.
Source: Leadership (Nigeria)
