The Energy Republic September Edition

NIGERIA SHELL INTERVIEW
OIL AND GAS
This reliable spirit operations. was on display This includes at the respect 5th GECF for
Summit the sanctity of Heads of of existing State and contracts, Government and in
predictable Equatorial Guinea regulatory, in November commercial, 2019 – a firstof-its-kind
framework event in Africa across – where the the country. GECF’s
and
legal
Overcoming
highest leadership
security
reiterated
challenges
the crucial
in the
role
Niger
of
natural gas in Africa’s uplift and resolved their
Delta has experienced an increased risk to
common determination to “promote the GECF
personnel and property as well as the
cooperation with African countries to use gas as
disruption the core source to of operations energy in their is development also very
important.
programmes and climate change policies, to
o vercome e n e rg y p o verty, e n h a n c e
TER: development In terms and to of mitigate gas, creating CO2 emissions”. the link
between the gas producer and the market
has That been same a year, problem Africa gained Nigeria. a new What's elevation your in
the perspective world of on energy strategies the and Russia-Africa policy
Summit, implementation held in October in 2019 unlocking Sochi, Russia, new
opportunities and co-hosted to by strengthen Russian President Public-Private Vladimir
Partnerships
Putin and Egyptian
(PPP)
President
going forward?
Abdel Fattah el-
Sisi, with the attendance of 43 heads of state or
government. At this landmark event, much
Ubong: Policies must be fit for purpose;
emphasis was laid on the sovereign rights of
countries while learning to harness from their policy natural development resources,
such across as natural the world, gas, for there advancement must be of a
their recognition societies. of After the all, Africa peculiarities is bestowed of with the
Nigerian a rich array context of minerals both and in setting the people policy of and the
driving continent its must implementation. have an equal shot Policies at social must and
provide personal prosperity. mitigation for potential short-term
negative impacts while still laying the
groundwork Yet, as the world for long-term is progressing success. to increase
energy access and fulfil the UN Sustainable
Phased
Development
approach:
Goal (SDG)
with
#7,
the
to ensure
challenges
access to
in
affordable, reliable, sustainable and modern
infrastructure, funding, security, and
energy for all, there is still an estimated 548
capacity, policy implementation must be
million people in sub-Saharan Africa, or 53% of
phased the population in their without approach. access This to electricity, approach
enables according to the the United quick Nations. wins Further, that create nearly
momentum 789 million Africans for long-term currently have delivery. no access It also to
helps clean cooking.
aligning and gaining support from
multiple, complex and varied stakeholders.
In my participation at the recently-held ‘The
The Decade PIA of has Gas’ provided Conference a (29 stable March), regulatory where I
framework joined Nigeria’s for both President the and domestic the State and
export Minister gas for market Petroleum in Nigeria. Resources With the HE
recognition
Muhammadu
of
Buhari
gas as a
and
transition
HE Timpire
fuel by
Sylva,
the
along with global energy leaders, I had
EU and the growing demand for gas, Nigeria
emphasised that these communities deserve
is well placed to exploit the opportunity to
access to affordable, reliable, and sustainable
modern fill this gas, energy, especially such as over natural the gas, next to decade. become
part of the global movement to eradicate
energy As much poverty. as renewable energy is reshaping
energy consumption globally, oil and gas
remain To mobilise a very its members’ important strength drive for to the meet world this
economy. most urgent The issue success facing Africa, of the last Petroleum December
Industry the GECF is entered and will into always an MoU be dependent with UNESCO on
the with legal the singular provisions, goal governance, of researching timely and
developing regulations, technologies and fiscal framework. and mechanisms that
will enable Africa to unlock its energy potential,
while safeguarding the global environmental
TER: As a gas producer and President of the
ambitions.
Nigerian Gas Association (NGA), what
should Working government from our Secretariat do, in partnership in Doha, Qatar, with we
industry are also working stakeholders directly with and representatives players in of
developing several countries a credible from Africa. gas-powered The GECF
economy regularly engages in Nigeria? with
Ubong: The declaration of 2021-2030 as the
“Decade of Gas” is the realization by the
Nigerian Government that Nigeria is,
ED Ubong at World Gas Conference in May with the outgoing President of the
Interna onal Gas Union Dr Joe Kang
indeed, a gas nation whose gas
production and consumption need to
be
ambassadors
accelerated.
and members of
diplomatic missions from Africa, who
represent around 20 countries from the
For me, I believe the most important
African continent. The Forum has also
hosted
indicator
an ‘African
of success
Ambassadors
for the
Group’
average
– a
day-long Nigerian conference citizen will dedicated be a to reliable energy
electricity/power in Africa. supply. Currently, 85
million Nigerians do not have access to
grid This enthusiasm electricity, and therefore belief in we Africa’s must
unlock energy potential the challenges are not in unfounded the gas-topower
without value merit. chain Projections to improve from access the latest to
or
energy available for iteration Nigerians. of the GECF’s Global Gas
Outlook 2050 show that Africa will witness
This
the highest
will require
growth
pragmatic
rate of natural
steps
gas
to
among all regions of the world, at nearly
address structural issues across the ongrid
value chain ranging from
150% up to 2050. Countries such as
Senegal and Mauritania in Africa stand on
i
the
n t
precipice
e r r u p t i
of
o
the
n s
league
i n g
of
a
gas
s s
exporters
u p p l y,
transmission in the short term, grid while losses Mozambique and outages, and
inadequate Tanzania are expected metering to become infrastructure, natural
and gas exporters illegal connections.
in the long term.
The In the NGA short term is working too, the GECF’s with first its
stakeholders Annual Short-Term to accelerate Gas Market gas Report sector
development (2020) shows, across Africa seven boasts thematic several
areas: promising unlocking growth factors, the domestic such as gas in the to
power
area of power
value
generation,
chain; accelerating
transport
through natural gas vehicles (NGVs), and
infrastructure development including
investments.
virtual pipelines; driving gas-based
industrialization;
The GECF is working
deepening
to foster
domestic
stronger
LPG partnerships penetration, with other building Africa-based a stable
regulatory organisations environment such as AFREC, anchored APPO, on and a
willing the Africa buyer-willing Energy Chamber seller (AEC). pricing To give
regime; you an idea growing of the pace the of development export and in
regional the gas industry gas market, in Africa, building Mozambique local
capacity/content alone took FID 3.3 for million contractors tonnes and per
professionals annum (mtpa) in in the 2017 gas sector. followed by a
further 13 mtpa in 2019. The first project is
These
expected
seven
to be
thematic
commissioned
areas
in
are
2022,
critical
and
the second one will enable LNG flows
to realizing the objectives of the
‘Decade of Gas’ and need to be pulled
together in a Nigeria Decade of Gas
Masterplan (NDGMP) that provides a
roadmap that allows Nigeria to utilize its
huge
from Mozambique
gas resources
to
for
the
its
world
socio-economic
by 2024-25.
growth in developing a credible gaspowered
economy.
Additionally, there are more than 74 million
mt/year of LNG export capacity to be
approved in the Sub Saharan region by 2030,
We provided a re that collaborating all the conditions are w imet t h if t hwe
e
government view it in the context and its of industry the African partners Coalition to
unlock for Trade the and potential Investment in the in Natural gas value Gas. chain
and create an enabling environment for
the At the Nigerian same time, gas sector new market to thrive. players This will are
yield rising a with myriad the discovery of economic of huge opportunities.
gas reserves
in Tanzania, Gabon, Mauritania, Congo,
Senegal, Harnessing and our Cameroon vast gas resources that are likely is key to
support
the development
an ambitious
of the
gas
country.
master-plan
Natural
for
domestic consumption as well as LNG
gas gives us the ability to lift millions out
exports.
of energy poverty, giving people the
I
power
believe
to
our
improve
multi-faceted
their
efforts
physical
are
health,
bearing
fruit well-being, and this and was standard evidenced of at living. the last GECF
Ministerial Meeting, held in November 2020.
The It also 22nd gives GECF us a Ministerial pathway to Meeting economic was
hosted growth (virtually) and development, by Algeria and welcomed not only
the through participation direct exploration of ministers and trading and top of
authorities gas resources from but several by providing guest reliable African
countries power supply who delivered for the manufacturing their key messages and
on industrial the energy sectors sector which and are gas the market major in
particular,
g rowth e
including
n g i n e s
from
fo r d
Mozambique,
eveloping
Tanzania, Tunisia, and Senegal.
economies.
OGR: GECF and UNESCO have signed an
MOU
TER: How
on climate
is SNG leveraging
change. What
on Nigerian
is GECF
planning Content for and Africa? building capacities through
gas development?
Sentyurin: The GECF serves as a platform for
the Ubong: science-policy Shell Nigeria interface, Gas Limited underpinning (SNG) is
the importance only Nigerian of the exchange subsidiary of scientific of an
knowledge, international experience, oil company and in dissemination
domestic gas
of distribution information and through it is 100% research Shell and share.
Shell Companies in Nigeria contribute to
economic growth in Nigeria by generating
revenue for the government through
taxes, creating employment
07 26
OIL THE AND ENERGY GAS REPUBLIC I I SPECIAL EDITION