FG can save $20bn annually by reducing importation - NNPC

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May 7, 2015 12:30 PM

Ige made the disclosure on Wednesday, May 6, 2015 during a session hosted by the Petroleum Technology Association of Nigeria (PETAN) at the ongoing 2015 Offshore Technology Conference (OTC) in Houston, Texas.

NNPC Group General Manager, Public Affairs Division, Ohi Alegbe

According to the Group Executive Director, Gas and Power of the Nigerian National Petroleum Corporation (NNPC), David Ige, the Federal Government can save about $20 billion annually if it reduces importation and increases local manufacturing in the country.

Ige made the disclosure on Wednesday, May 6, 2015 during a session hosted by the Petroleum Technology Association of Nigeria (PETAN) at the ongoing 2015 Offshore Technology Conference (OTC) in Houston, Texas.

The NNPC boss also said that increasing support for the industrial sector by providing more gas would reduce the impact of the global fall in crude oil prices.

He said:

“You can see the amount of money Nigeria spends on the import of these goods and services. There is one thing that is common among these industries; they are all natural gas based, a commodity which Nigeria has in abundance.”

“If we project the requirement to support the industries listed above, the sector may need to grow gas further to about five to six billion cubic feet per day by 2020.”

“We need investments in gas processing, micro-liquified Natural Gas, Compressed Natural Gas as well as upstream Non-Associated Gas (NAG) development. Therein lie the compelling investment opportunities.’’

“It brings to our collective consciousness the potential in Nigerian domestic gas sector. We can turn the gloom inherent in low price into a breakthrough for gas based industrialization of Nigeria.”

Ige was the representative of the NNPC Group Managing Director, Joseph T. Dawha at the forum.

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