Gas Development: A Key Solution to Nigeria’s Energy Challenges

Nigeria’s energy sector has been facing numerous challenges in providing reliable, affordable, and sustainable energy to its citizens.

In an effort to address these issues, Seplat Energy, a leading indigenous energy company, has recently highlighted the pivotal role of gas development as a clear solution to Nigeria’s immediate problems and as a long-term transition fuel.

During the 2024 Nigeria International Energy Summit in Abuja, Mr. Effiong Okon, the Director of New Energy at Seplat Energy, emphasized the importance of gas development in various sectors, including power generation, Liquefied Natural Gas (LNG) export, Compressed Natural Gas (CNG) production, fertilizer production, Liquefied Petroleum Gas (LPG) production, and building materials production.

According to the International Energy Agency’s Global Energy Outlook 2024, natural gas production in Africa is expected to grow by 15 percent between 2020 and 2030, with Nigeria being one of the key drivers of this growth.

This expansion in gas production is expected to not only improve the energy situation in Nigeria but also contribute to the global energy transition.

Mr. Okon pointed out that gas development can also help reduce reliance on petrol, decarbonize domestic transport fuel, and provide funding for critical sectors such as housing and infrastructure.

He stressed the need for a comprehensive approach to gas development, including exploration, production, gas processing, and delivery to the last mile.

For a sustainable gas development program in Nigeria, it is crucial to focus on bankability and access to low-cost capital, use of technology, and revenue delivery opportunities to aid fund collection.

By adopting these measures, Nigeria can maximize the benefits of its gas resources and improve its energy security.

Gas development is a logical transition fuel for Nigeria, providing a clear solution to the country’s immediate energy challenges and contributing to a more sustainable future.

With the right policies and investment, Nigeria can harness the full potential of its gas resources, benefiting both its economy and its citizens.