The National Petroleum Corporation (NNPC) and Sterling Exploration and Energy Production Company (SEEPCO) have signed a mining deal to develop gas exploration to a commercial quantity at a rate and volume that would ensure more availability at the local market.
The deal on gas exploration in respect of Oil Mining License (OML143) targets to drastically reduce gas flaring and conversely increase local utilization and market development.
At the signing, the Group Managing Director of the NNPC, Malam Mele Kyari commended SEEPCO for its unwavering commitment to gas development and commercialization in the country, which has led to the establishment of a Special Purpose Vehicle that will help expand gas utilization in the country as a cleaner, cheaper and more reliable alternative form of energy.
On his part, the Chairman of SEEPCO, Mr Tony Chukwueke, described the deal as an essential partnership that would help the company fulfill the pledge it made to support the efforts of the Nigerian government to eliminate gas flaring by monetizing it.
He commended NNPC and the GMD for ensuring the execution of the agreement, which he described central to the achievement of the company’s cardinal objective of boosting the production of Liquefied Petroleum Gas (LPG), condensate and dry gas for the Nigerian market.