Page 17 - DMEA Week 07 2022

DMEA NEWS IN BRIEF DMEA

like ammonia, urea and fertilizers. This will government’s efforts to ensure that the benefits TERMINALS & SHIPPING
have the added benefit of boosting agriculture of the sector benefit every Nigerian. The
which remains a major employer in the government will focus on the development of CHEC to subcontract for
country and the entire region. skilled workers, with the creation of a higher
Niger already has valuable experience in institute dedicated to the training of technical NLNG’s Train 7 project
driving transnational energy infrastructure staff and engineers. The aim is to have at least
projects. Its 2011 completed Zinder based 50% of all technical roles in the sector filled China Harbour Engineering Co. (CHEC) is
20,000 barrels per day (bpd) refinery supplies by Nigerians within the next 10 years. The slated to act as a subcontractor for the Train
the entire region with petroleum products. development of Niger’s oil and gas industry is 7 expansion project at the Nigeria LNG
Niger currently exports refined products to a key stated objective of the Government of (NLNG) plant on Bonny Island.
countries in the sub-region, including Nigeria, Niger, and by 2025, is expected to represent According to a recent company statement,
Mali, and Burkina Faso. Through the much- approximately 24% of GDP, 45% of tax CHEC won an engineering, procurement
anticipated completion in 2023 of the Niger- revenues, and 68% of exports as well as 8% to and construction (EPC) contract from the
Benin pipeline - a 2000 km pipeline that will 12% of formal employment in Niger. international joint venture that is acting as the
run from the prolific Agadem basin in Niger “We are happy to be in Niamey and fully main contractor for the Train 7 project. Under
to the Cotonou terminal off the coast of Benin support this project. The energy industry that contract, the Chinese company will be
- Niger will increase its current production and the working men and women in Africa responsible for designing and building the
from 20,000 to over 120,000 bpd. This $2.2 applaud Nigeria, Niger Republic and Algeria hydraulic structure of the wharf and approach
billion pipeline will unlock an additional $3 for sending a strong message that the Trans- bridge at NLNG’s seventh production train,
billion in field development investments by Saharan pipeline is in our best interest as it including the pile foundation and concrete,
Chinese major CNPC, which is the operator will improve energy security, create good the statement said.
of the Agadem discoveries. The pipeline is paying jobs and expand much needed CHEC did not reveal the value of the
also expected to boost exploration in Niger, as economic growth,” Stated NJ Ayuk, Executive contract or say when it expected to begin
explorers are expected to take advantage of the Chairman of the African Energy Chamber, work. It did say, however, that it would also
relatively cheap exploration and development adding that “Restarting this project, sends be responsible for designing and building a
costs in the country - $15/ barrel - compared a clear message to investors, and important steel platform and auxiliary facilities for the
to other international frontiers. Conservative strategic partners in Europe and Africa, that hydraulic structure.
estimates of Niger’s reserves currently stand at things are changing in Africa. We will be NLNG’s main contractor for the Train 7
3,7 million barrels of oil reserves in place and pushing to have some key milestones and project is Saipem-Chiyoda-Daewoo (SCD),
957 million barrels of recoverable oil reserves. agreements signed and announced during an Italian-led joint venture that also includes
During his opening speech at ECOMOF African Energy Week in October in Cape Japanese and Korean partners. The scheme is
2022, H.E Mahamadou highlighted the Town.” designed to raise NLNG’s production capacity
development of regional energy infrastructure Niger aims to become a hub for from 22.5 mn tonnes per year (tpy) to 30mn
as a cornerstone of H.E President Mohamed hydrocarbons, petrochemicals and associated tpy. It envisions the construction of a seventh
Bazoum’s economic policy. The government products in West Africa and the Trans- production train that can turn out 4.2mn
intends to focus on the development of gas Saharan Pipeline projects only serves to tpy, as well as the debottlenecking of existing
and gas to power infrastructure in an effort enhance this trend. The planned energy trains, which will add another 3.4mn tpy of
to monetize gas resources as well as achieve infrastructures will boost Niger’s growth and capacity. Equity in the NLNG consortium
100% electrification in the country. position it as a key bridge between resource is divided between state-owned Nigerian
The Niger oil and gas sector is gaining huge rich sub-Saharan Africa and the Maghrebian National Petroleum Corp. (NNPC), with 49%;
momentum and transforming its economy. and European markets. This is good news Royal Dutch Shell (UK/Netherlands), with
The minister also highlighted the demand for for investors and services companies seeking 25.6%; TotalEnergies (France), with 15%, and
regional economic and social development for attractive returns in one of Africa’s most Eni (Italy), with 10.4%. The partners began
driven by the benefits derived from the oil promising hydrocarbons frontiers with one of production in 1999 and broke ground on the
and gas and energy sector. He presented a the continent’s most stable democracies. Train 7 project in June of last year.
positive vision of the sector and stressed the AEC NEWSBASE

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