โขFrom left: Ifeoma Isichei, Head Business Development (Gas), Sahara Group; Olurotimi Famoroti, Chief Executive Officer, FIPL; Mariah Lucciano-Gabriel, Head, Integrated Gas Ventures, Asharami Energy; Omobolanle Adesulu, Head, Business Performance Management, Sahara Group; Abel Nsa, Senior Technical Assistant to the Hon. Minister of State Petroleum Resources (Gas); Mobolaji Sunmoni, Senior Infrastructure Finance Professional; Dr. Adeola Yusuf, Team Lead, Platforms Africa during the Asharami Square event themed โHarnessing Gas for Africaโs Sustainable Futureโ, Friday in Lagos
The Federal Government has announced its commitment to settling all outstanding debts owed to gas producers, including long-standing legacy debts. This initiative aims to stimulate investment and drive progress within Nigeria’s crucial gas sector.
Mr. Abel Nsa, Senior Technical Adviser to the Minister of Petroleum Resources (Gas), disclosed this significant development during a panel session at the Asharami 2.0 sustainability event organised by Sahara Group in Lagos. Themed “Harnessing Gas for Africaโs Sustainable Future,” served as a platform for critical dialogue on the continent’s energy requirements.
Nsa affirmed that President Bola Tinubu has directed relevant ministries and agencies to prioritise the resolution of the debt issue. “The Federal Government is committed to gradually offsetting the outstanding debts,” Nsa stated. He added that the government is also tackling other critical areas such as gas pricing, flare penalties, gas infrastructure, supply receivables, and LPG availability to encourage upstream investment.
He further emphasised the government’s diligent efforts to promote gas utilization as part of its broader mandate to stimulate domestic commerce and industrialisation. “Itโs a wake-up call for Nigeria to optimise gas resources effectively. Gas has the potential to transform the sector and drive progress,” Nsa remarked.
Addressing the issue of gas flaring, Nsa noted that current gas flaring in Nigeria has dropped to less than one per cent, a “notable achievement.” However, he stressed that the government cannot finance projects that are not bankable.
Echoing these sentiments, Mrs. Ijeoma Isichei, Head of Business Development (Gas) at Sahara Group, described gas as a sustainable and effective bridge fuel. She highlighted its potential to promote industrialisation, job creation, economic growth, and improved energy access for underserved populations. Mariah Lucciana-Gabriel, Head of Integrated Gas Ventures at Asharami Energy, further underscored Nigeria’s commercial gas volumes, asserting their capacity to support the nation’s energy transition and industrial development.
However, concerns were raised regarding limited investments in the gas sector. Mr. Mobolaji Sunmoni, Lead, Upstream at Fidelity Bank Plc, pointed out that many gas-related projects are not bankable, hindering financial institution support. “To attract funding, projects must be viable. Insecurity, poor infrastructure, and lack of financing remain key challenges to gas development,” Sunmoni noted.
Dr. Adeola Yusuf, Team Lead at Platform Africa, also voiced concerns about the strained relationship between operators and the media, advocating for greater mutual understanding and uncensored collaboration. Yusuf further criticised the government’s slow progress in addressing gas flaring and ensuring domestic access to gas, highlighting that “about 80 per cent of Nigerian women still lack access to domestic gas.” He called for stricter penalties for gas flaring to prevent “losing trillions of Naira in wasted resources.”