Nigeria’s local oil and gas giant, Seplat Plc flared 100% of the Gas it produced in June, according to the Monthly NNPC monthly petroleum information. The report shows total gas produced by the country was 237,397,260.13mscf (5.5% down from May 2015) with about 17% of it flared by Nigerian Oil companies.
The report which include Seplat, the only Listed company (apart from Oando) playing in the Oil and Gas space showed that a total of 2,763,706.50 was produced for the month of June with about 100% of it flared. Seplat also flared 100% of the 1,797,413 it produced in May 2015.
Gas flaring is very common in Nigeria as most companies do not have enough market incentive to convert the gas produced (which is a by-product during crude oil production) into a marketable commodity. The Nigerian Government in an effort to create incentives has increased the price of gas on several occasions. Despite this, market operators believe the increase is not cost reflective thus giving them no option but to flare.
Report below shows list of Oil producing companies and the gas flared in the month of June.