Page 7 - AfrElec Week 35 2021

AfrElec GAS-FIRED GENERATION AfrElec

NNPC, Kaduna State sign MoU on

gas supplies and utilisation

AFRICA NIGERIAN National Petroleum Corp. (NNPC) ahead of the completion of” the Ajaokuta-Ka-
has entered into a memorandum of under- duna-Kano (AKK) and Obiafu-Obrikom-Oben
standing (MoU) with the Kaduna state govern- (OB3) gas pipelines, he said.
ment on increasing natural gas deliveries and He went on to say that NNPC’s co-opera-
consumption. tion with Kaduna State would help support the
According to local press reports, the two sides Nigerian federal government’s “Decade of Gas”
signed the MoU at a ceremony earlier this week. programme.
Mele Kyari, NNPC’s group management direc- The parties have not yet divulged all the
tor, said at the event that he hoped the document details of the MoU, but Garba Muhammad, a
would help make more gas available to industrial spokesman for NNPC, said on August 31 that
consumers in Kaduna. the MoU called for the state-owned company
“We all know that Kaduna used to be a hub and the Kaduna state administration to continue
when it comes to industries,” he commented. “It to work together on strategic gas utilisation initi-
is our hope that this MoU signing will help pro- atives. These include the AKK and OB3 gas pipe-
vide the gas needed for some of those industries line projects, he said.
to come back to life.” Muhammad also indicated that the MoU
Kyari did not name any potential buyers in would provide key players in Nigeria’s domes-
Kaduna, but he did state that NNPC planned to tic gas market with a foundation for long-term
work with the state administration in Kaduna involvement in gas deliveries to Kaduna. The
to promote and expand gas demand. The state- state wants to obtain gas via the AKK and OB3
owned company “is leading this co-ordinated pipelines on competitive terms and will apply to
effort with state governments and private sec- multiple suppliers, including Nigerian Gas Co.
tor investors to develop demand framework for (NGC), Nigerian Gas Marketing Co. (NGMC)
immediate and long-term gas supply solutions and virtual pipeline companies, he said.™

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