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Gas Flaring: FG Restates Commitment to Deadline Mandate
From Fidelia Okwuonu in Abuja, 11.14.2007


The Federal Government has reiterated its decision to stop gas flaring by 2008, even as major oil producing companies appealed for more time.
Director, Department of Petroleum Resources (DPR), Mr Tony Chukwueke, said this at the 25th Annual International Conference of the Nigerian Association of Petroleum Explorationists (NAPE), adding that the 2008 zero gas flaring deadline would never be compromised.
However, Ms Kim Bates, Area Manager, ExxonMobil Corporation, on behalf of major oil producing companies, urged government to extend the deadline to 2010. Bates made the proposal, while speaking on "Gaps in the Gas Development Chain: ExxonMobil Perspective." He said the realistic flares down will be end of 2010.
Shell had originally proposed the 2007 date, which was adopted by the Federal Government after series of suspension of deadlines. She argued that ending flares would require continued cooperation between the industry and government.
Meanwhile, the Federal Government has targeted on-shore gas for domestic market.
Nigerian gas flaring accounts for 20 per cent of world total, which could be ended by 2008 by collecting associated natural gas and processing it into Liquefied Natural Gas (LNG), making the Federal Government to raise earnings from natural gas exports to 50 per cent of oil revenues by 2010.

Nigerian National Petroleum Corporation (NNPC) estimated that $15 billion in private sector investments was necessary to meet the countrys natural gas development goals by 2010.