FG set to commence multi-billion-dollar gas project in Bayelsa

The federal government has declared that the gas supply and purchase agreement to support the final investment decision for the $3.8 billion Brass methanol project will be executed in May 2024.

The Brass Methanol Project is being constructed in Bayelsa State to use natural gas resources to generate methanol, a crucial industrial chemical. At the moment, all of Nigeria's methanol is imported.

The Brass methanol project, funded by Brass Fertilizer & Petrochemical Company Limited, consists of several facilities, including a gas processing plant, a methanol production and refining plant, and facilities for product export.

The facility, situated at Brass Island, Bayelsa, is currently under construction but is projected to be active this year.

When finished, it will have a daily capacity of 10,000 tonnes of methanol. DSV Engineering Limited, the Nigerian National Petroleum Company Limited, and the Nigerian Content Development & Monitoring Board are partners in this project.

Project to enhance the economy

By lowering dependency on imports, the $3.8 billion project is expected to enhance Nigeria's economy and generate up to 15,000 jobs during construction.

Following a meeting with essential project stakeholders in his office on Wednesday, the Minister of State Petroleum Resources (Gas), Ekperikpe Ekpo, announced the execution date for the gas supply agreement in Abuja.

According to a statement released by Ekpo's media assistant, Louis Ibah, the purpose of the meeting was to ensure that the NNPC/Shell/TotalEnergies/NAOC Joint Venture was providing enough gas supply for the Brass methanol project.

According to him, the meeting's other objectives included deciding how to finish and carry out the GSPA and develop the project's phase-2 gas supply.

According to a Leadership report, the minister stated that the President has a strong desire for the project to begin as soon as possible to attract the much-needed foreign direct investment and the ensuing economic advantages for the nation.

Project to be executed soon

Ekpo declared after the meeting that he had effectively handled the GSPA issue and that it would be implemented by May 2024.

The minister stated: “The NNPC/SPDC JV partners are now fully committed to uninterrupted gas supply for the development of the Brass methanol project.”