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NNPC will export natural gas to Europe, as European refinery closures favour Nigeria

NNPC

Mikanti Baru Group Managing Director, NNPC

The Group Managing Director, Nigerian National Petroleum Corporation (NNPC), Maikanti Baru, has revealed that the NNPC intends to export natural gas to European countries through the proposed Nigeria-Morocco Gas Pipeline.

He said the plan is aimed at linking the pipeline to the existing Maghreb-Europe Gas Pipeline in Northern Morocco to supply gas from Nigeria to Europe.

Baru made this known while speaking to employees of the Kaduna Refining and Petrochemical Company during a retreat that was organised by the management of the refinery.

“The feasibility study has been concluded and the pre-FEED (Front End Engineering Design) optimisation study is currently ongoing.

“While this pipeline will help in electrification and industrialisation of these countries, it will also meet the needs of European consumers for heating.”

Nigeria to benefit from refinery closures in Europe: During the retreat, Baru said the closure of refineries in some European Union countries will favour Nigeria in the long run. This is because refining operations will move to countries with high demands for petroleum products when these advanced economies eventually close their refineries, Baru assured.

This projection is driven by the current dynamics of the global oil and gas industry.

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Other factors that will aid Nigeria’s refining operation: Baru also disclosed other factors that could strengthen the Nigerian oil and gas industry. In his assertion, the completion of the Dangote Refinery would create competition in the refining sector.

He also spoke of the benefit of the International Maritime Organisation regulation which reduces the cap on the sulphur content of bunker fuel from 3.5 percent to 0.5 percent as from January 1, 2020.

Baru, however, said the state of Nigeria’s refinery is worrisome, stating that it could deny Nigeria of opportunities in global oil.

Aside from the KRPC, Nigeria’s other refineries are the Port Harcourt Refining Company and the Warri Refining and Petrochemical Company.

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