• Saturday, May 25, 2024
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Indigenous oil firms record 87 percent growth in gas production


The indigenous oil firms grew gas production by 87 percent as shown by the Nigerian National Petroleum Corporation (NNPC) monthly petroleum information (MPI).

It was stated in the report that the indigenous oil firms produced a total of 55.803 million standard cubic feet (mscf) gas in the first five months of year 2014, when compared to 29.883 mscf produced in the corresponding period of 2013, this indicates a growth of 87 percent.

About sixteen indigenous oil firms engaged in gas production during the period under review, nine independent firms make up the list while the remaining seven companies are marginal field.

Out of the 55.803 mscf of gas produced by the indigenous oil firms in the five months of year 2014, independent sole risk companies accounted for 86 percent which is equivalent to 48.104 mscf while the marginal fields accounted for the remaining 14 percent which is equivalent to 7.699 mscf.

In terms of production growth, Independent sole risk companies grew gas production by 91 percent to 48.104 mscf in 2014 from 25.223 mscf produced in 2013 while marginal fields grew production by 65 percent to 7.699 mscf in 2014 from 4.659 mscf in 2013.

Two independent oil firms, Nigerian Petroleum Development Companies (NPDC) and ND Western accounted for an average of 75 percent of the total gas produced in 2014. The two firms cumulatively had total of 41.91 mscf. NPDC had the top spot with total gas production of 29.275 mscf in the five months of year 2014.

ND western took the second spot in the indigenous gas production with total gas production of 12.635 mscf while Platform Petroleum a marginal field occupied the third place with 3.386 mscf.

This is in line with the projection that Nigerian oil independent companies are expected to contribute 50 percent to domestic gas supply by 2018 to power the economy.

The industry experts’ assertion the possibility of this aspiration on the increasing acquisition by indigenous independents of assets being divested by international oil companies operating in the country.

This development was also reflected in the share of indigenous oil firm in total gas produced in 2014. Out of the 1,061.284 mscf produced in the first five month of year 2014, indigenous oil firms are responsible for 5.26 percent compared to share of 3.98 percent recorded in 2013.

Olowa Peter