- Nigeria has lost up to $868.8 million, about N173.76 billion to gas flaring in 2014, according to data obtained from the Nigerian National Petroleum Corporation, NNPC.
- Using the Nigerian Gas Company, NGC’s price of $3 per 1,000 SCF of gas at the current exchange rate realities, the flaring of 289.6 billion SCF of gas translated to a loss of $868.8 million, an equivalent of N173.76 billion.
- Specifically, the oil and gas companies produced 2.524 trillion SCF of gas, utilised 2.235 trillion SCF and flared 289.6 billion SCF.
- Below is a breakdown of gas utilization during the period in review, as indicated by the NNPC:
- 154.37 billion SCF used for fuel;
- 712.3 billion sold to third parties;
- 178.447 billion SCF sold to NGC;
- 643.81 billion SCF was re-injected,
- 11.01 billion used as fuel gas to Eleme Petrochemical Limited, EPCL;
- 38.8 billion SCF for LPG/ NGL feedstock to EPCL;
- 391.37 billion SCF for Liquefied Natural Gas, LNG;
- 104.58 billion SCF for gas lift.
- According to the ASB, the Joint Venture, JV companies, comprising the multinational oil companies were the worst offenders in terms of quantity, as they flared 211.836 billion SCF of gas, representing 11.2 per cent of their total gas production of 2.11 trillion SCF.
- Production Sharing Contract, PSC companies followed as they flared 66.12 billion SCF of gas, representing 19.95 per cent of their total gas production of 397.58 billion SCF.
- Sole Risk/Independent oil companies produced 9.71 billion SCF of gas, utilised 1.85 billion SCF and flared 7.86 billion SCF, representing 424.5 per cent of the total gas produced in the sebsector.
- Similarly, Marginal Fields companies utilised only 6.79 billion SCF of a total of 10.57 billion SCF gas produced in the subsect, and flared 3.78 billion SCF or 55.7 per cent of their total production.