Techno Oil N3bn LPG Plant To Produce 5m Cylinders

Techno Oil Limited has announced plans to execute a N3 billion Liquefied Petroleum Gas (LPG), also known as cooking gas, cylinder manufacturing plant in Lagos.
The facility, which is hopefully coming on stream by the end of November, has production capacity of five million units of cooking gas cylinders annually.
“The construction of the plant has since commenced at Lekki, Lagos, and it is valued at over N3 billion and is expected to generate no fewer than 1,000 jobs to Nigerians,” the executive vice chairman of the company, Nkechi Obi, said .
Currently, the machines fabrication and construction of the plant are being monitored in strict compliance to regulatory standards as stipulated by the Standard Organisation of Nigeria (SON) and Department of Petroleum Resources (DPR). Obi said that the plant was being constructed in partnership with a European firm which has built similar plants in over 15 African and Asian countries, adding that her company embarked on the project as part of its contribution to the drive by the federal government to deepen the LPG and encourage more Nigerians to embrace the use of the LPG which she described as a cleaner, safer and affordable source of fuel for homes.
She said the Techno Oil LPG cylinder manufacturing plant, when fully operational, would also offer value added services to cooking gas users through the use of an integrated cylinder integrity testing facility.

This would be a relief because most cylinder users do not have access to the facility that helps to test the integrity of their cylinders.
Obi also said that although the use of cooking gas had increased by about 36.8 per cent in Nigeria in the past three years, over 80 per cent of households still relied on kerosene, firewood and other dangerous energy sources.

She lamented that Nigeria had a population of over 170 million people, yet the country has less than one million cooking gas cylinders in circulation.

“The huge capital expended
annually on the importation of LPG cylinders is a monumental loss to this country,” said Obi.

“With the completion of this project, Nigeria will curb this huge capital flight which is estimated at N5 billion annually and further reduce the depletion of our foreign reserve,” she added.

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NNPC to Supply Gas from $662m East-West Pipeline by 2017

The Nigerian National Petroleum Corporation (NNPC) has said that it expects to start regular supply of gas to end users within the eastern part of Nigeria through its East-West gas pipeline in early 2017.
NNPC made this known on Tuesday at the ongoing 2015 Offshore Technology Conference (OTC) in Houston, Texas, adding that it was making significant progress with the execution of the $662 million gas supply infrastructure project, otherwise known as Obiafu-Obrikom and Oben (OB3) gas pipeline project.
It stated that it would achieve mechanical completion of the project by December 2016 and flow the first gas through the pipeline by early 2017.
“Construction has started on the East-West pipeline and we are beginning to make a lot of progress in terms of construction on both sides.

“Our expectation is that by December 2016, we would have mechanical completion of the pipelines and by early 2017 we would start to flow gas through the pipeline,” said NNPC’s Group Managing Director, Joseph Dawha.

He also explained that work on the second Escravos-Lagos Pipeline System (ELPS-2) had significantly progressed and that by August 2015 gas supply to end users in the western part of the country would have increased to 2 billion cubic feet per day (bcf/d).
In his appraisal of work on the ELPS-2 project, Dahwa said: “The Lagos pipeline is almost completed and we expect that within the next three months that project is done.

The magnificent NNPC Towers, Headquarters of the Nigerian National Petroleum Corporation in Abuja, Nigeria’s capital city.

“We have completed and commissioned Lagos all the way to Oben. We have completed Emure all the way to Itoke in Lagos, and so the bit that is still left is Benin to Emure and that is progressing very well and the expectation is that before August this year, the ELPS pipeline would have been completed and we would have doubled the capacity to two billion cubic feet per day. It should be the biggest pipeline in Africa in terms of capacity.”

“At the moment, gas supply to the power sector has grown to over a billion cubic feet per day…

The current infrastructure, primarily owned and operated by NNPC’s subsidiary, the Nigerian Gas Company (NGC), is split between an eastern and western network of a combined 1,100 kilometres that are not interconnected. It is also considered that the development of the pipeline infrastructure network, though capital-intensive, is quite slow.
Dawha however spoke on the amount of gas currently supplied to Nigeria’s power sector, vis-à-vis the obvious drop in electricity generation.
According to him, “At the moment, gas supply to the power sector has grown to over a billion cubic feet per day and I think that before the end of this year we will see a significant increase as well in that.

Gas Pipelines

“Cumulatively in the entire country we are producing about two billion cubic feet of gas now. Some of the gas that we are producing that is available is probably stranded because maybe some of the power plants are not ready.
“So over the next couple of months, you should see an increase in off-take. For example, we have got gas at the Gbaranuvie gas plant which hopefully should be commissioned very shortly; we have got gas at Omokwu which is awaiting the power plant. We have got gas for Egbema too.
“And when you bring all these gas volumes together, we have close to two billion cubic feet per day but not all of it is in active generation today either because the power plants are not ready or power evacuation is not ready.”

Culled from: http://www.thisdaylive.com/articles/nnpc-to-supply-gas-from-662m-east-west-pipeline-by-2017/208594/