The Nigerian National Petroleum Company Limited, NNPC has promised that it would continue to develop the nation ’s gas resources despite the exit of International Oil Companies from the country due to the global push for energy transition and net carbon zero target.
The NNPC’s Group Managing Director, Mr Mele Kyari, also stated this in Abuja at the ongoing Nigeria International Energy Summit 2022 with the theme, “Revitalising the Industry: Future Fuels and Energy transition”.
This came as the Federal Government announced that it had established a $50m Liquefied Petroleum Gas Energy Fund in partnership with Afriexim Bank to deepen the use of cooking gas in Nigeria.
On energy transition, Mr Kyari said the NNPC would work with its partners in facilitating the process in Nigeria regardless of the massive investment drop in fossil fuel projects amidst oil firms exits from Nigeria.
NNPC Managing Director noted that today in Nigeria, or mostly in sub-Saharan Africa, countries in this region could be described as energy deficient.
According to him, there’s the poverty of energy and there’s a huge gap to be filled
Kyari who pointed out that Nigeria has the largest reserves of gas and crude oil including condensates, noted that there i’s no way one can transit to a net carbon zero situation without necessarily having a transition fuel.
He noted that funding for fossil fuel projects had dropped by about 50 per cent when compared to what it was about 10 years ago.
According to Mr Kyari, the impacts are already showing and there’s a clear demand and supply gap which is the $104 oil in the market today.