The Nigerian National Petroleum Corporation (NNPC) has projected that the nation’s demands for Liquified Petroleum Gas (LPG) would rise to 23 billion cubic feet per day.
According the NNPC’s Group Managing Director, Mele Kyari, the country would need a refining capacity of about 1.52million barrels per stream day (MBPSD) to meet its petrol requirement in the next four years.
“NNPC requires between $1.6 billion and $2.7 billion to improve the supply and distribution of petroleum products, revamp Liquefied Petroleum Gas (LPG) infrastructure, and build Compressed Natural Gas (CNG) plants in the country.
“The demand for natural gas could grow about four times over the next decade from 4.8 billion cubic feet per day (bcf/d) in 2020 to between 10 and 23bcf/d in 2030.
“The expected demand growth would come from the increase in the wheeling capacity of existing national power grid in line with the Presidential Power Initiative, major fertilizer projects (Dangote, Brass), and industrial demand for natural gas in the northern axis of the country.”
On the global oil market outlook, Kyari said: “Some 10.4trillion dollars global stimulus in response to the COVID-19 pandemic led to the rebound in consumers’ spending while incentives for long-term investments in hydrocarbon had waned,” Kyari said.
The current supply to the domestic market was about 8bcf/d to power, 0.77bcf/d to industries, and 3.2bcf/d for export through the LNG and the West Africa Gas Pipeline (WAGP), while about 54bcf/d was flared.