Nedogas Development Company Limited (NDCL), a Joint Venture company between Xenergi Limited and NCDMB Capacity Development Intervention Company, has in collaboration with the NNPC Gas Infrastructure Company (NGIC), a subsidiary of the Nigerian National Petroleum Company (NNPC) Limited, successfully completed the construction and technical commissioning of a 300 MMscfd Capacity Kwale Gas Gathering (KGG) and injection facility located in the Umusam Community, near Kwale in Delta State, Niger-Delta, Nigeria.
The formal commissioning ceremony of the facility was performed by the Honorable Minister of State for Petroleum Resources (Gas), Rt. Honorable Ekperikpe Ekpo on Thursday, June 6 at Umusam-Kwale located in Ndokwa West Local Government Area of Delta State.
The Minister was supported by the Governor of Delta State, Rt. Hon. Sheriff Francis Orohwedor Oborevwori and the Executive Secretary of the Nigerian Content Development and Monitoring Board (NCDMB), Engr. Felix Omatsola Ogbe.
The KGG facility was designed to handle stranded gas resources in Nigeria’s OML56 oil province by providing the opportunity for independent operators in the area to monetize natural gas from their fields through the gas gathering, compression, injection and metering infrastructure of the KGG for quick access to market.
The KGG hub, which has been tied-in to the NGIC-owned and operated 48-inch OB3 gas trunk line, is now fully commissioned with gas injection capacity totaling approximately 50 MMscfd comprising of 20 MMscfd from the Nedogas Plant located 3km away in Energia’s Ebendo field and another 30 MMscfd coming from the Matsogo field operated by Chorus Energy Limited. Injected gas volumes are gradually and steadily being ramped up.
The project represents a significant milestone in Nigeria’s decade of gas initiative as well as a major achievement in the quest to provide gas into the OB3 trunk line and monetize natural gas resources from the OML 56 producer cluster.
In addition to the gas delivery obligations of the facility, the KGG will also be supplying the Delta State Economic Zone (DSEZ) from an integrated supply node within the manifold at the hub.
NDCL is a 100% Nigerian company with a proven interest in innovating and deploying cleaner energy solutions for Nigeria’s growth and economic development.
NCDMB’s equity investment in NDCL is one the strategic projects geared towards actualizing the Federal Government’s aspirations in key areas of the oil and gas industry. Most of NCDMB’s third-party investments are targeted at actualizing the Federal Government Decade of Gas programme.
The investments are in line with the Board’s mandate to build capacity and catalyze local projects in the Nigerian oil and gas industry as enshrined under the Nigeran Oil and Gas Industry Content Development (NOGICD) Act.
During the commissioning ceremony, the Honourable Minister of State for Petroleum Resources (Gas), Rt. Hon. Ekperikpe Ekpo, expressed his admiration for the Kwale Gas Gathering (KGG) Facility.
In his remark, he extended warm greetings to NEDOGAS, NCDMB, NGIC, and other project partners, noting that the initiative represents a significant advancement in promoting sustainable energy efficiency and economic growth.
He said the event marked a turning point not only for Delta State but also for Nigeria’s ongoing efforts to utilize its abundant natural gas resources for development.
Hon. Ekpo highlighted that the gas facility will attract investment, create jobs, and boost economic activity in Delta State and beyond by providing a reliable and sustainable supply.
He said, “Today, we are opening doors for economic growth, environmental protection, and technological innovation. This project aligns with the Decade of Gas plan, which aims to make Nigeria a gas-powered economy by 2030.”
He concluded by emphasizing that the inauguration of the KGG facility is just the beginning. “We must continue working together and striving for excellence.”
Governor of Delta State, Rt. Hon. (Elder) Sheriff O. Oborevwori (JP), in his address warmly welcomed everyone and expressed gratitude to NEDOGAS, NCDMB, NGIC, and all other project partners.
Speaking through his Deputy, Sir Monday Onyeme, the Governor noted that the project will enhance gas supply, create direct and indirect jobs, and boost the economy of both the state and the country. He called for more projects like this in other parts of Delta State.
The Executive Secretary of the NCDMB, Engr. Felix O. Ogbe (FNSE), expressed his excitement at the commissioning of the facility. He emphasized Nigeria’s commitment to the flares-out program and the COP 26 commitments on reducing emissions, aiming for net zero by 2060.
Engr. Ogbe noted that the Nigerian Oil and Gas Industry Content Development (NOGICD) Act mandated the NCDMB to support initiatives fostering national capacity development. The NEDOGAS project is a significant achievement under this mandate, particularly under section 70 (H) of the Act.
He highlighted the NCDMB’s investment in third-party companies to support the Federal Government’s job creation mandate, adding value to natural resources, and contributing to Nigeria’s flare-out targets. “These projects aim to create numerous direct and indirect jobs, supporting the economy,” he said.
Engr. Ogbe praised the Delta State government and host communities for their support and cooperation.
He reaffirmed the NCDMB’s commitment to promoting local content, driving economic growth, and improving the quality of life for all Nigerians.
“We will continue to advocate for policies encouraging the participation of Nigerian companies and professionals in the oil and gas industry, ensuring our resources benefit national development,” he concluded.
Chairman/CEO of NEDOGAS, Engr. Emeka C. Ene, in his remark expressed gratitude to the project’s partners (NCDMB, NGIS and Xenergi Ltd), for their role in the project’s success. He emphasized that the project aligns with the Federal Government’s Decade of Gas initiative and reiterated NEDOGAS’ commitment to cleaner and safer energy. He also thanked everyone present for their continued support in creating a brighter, cleaner, and more prosperous country.
CEO of NUPRC, Engr. Gbenga Komolafe (FNSE), represented by Ogunnubi Benjamin Olusegun, Regional Coordinator of NUPRC Warri, acknowledged the collective efforts of all partners in realizing the project. He applauded their dedication and commitment to its success and looks forward to witnessing the positive impact the project will have on the industry and the country as a whole.
Managing Director of NEDOGAS, Debo Fagbami, in his vote of thanks expressed gratitude to everyone present, and especially the strategic partner NCDMB, for making the event a success.
He extended heartfelt thanks to all distinguished guests, partners, and stakeholders for their invaluable contributions and support from the conception to actualization and final commissioning of the 300 MMscfd Kwale Gas Gathering (KGG) and Injection Facility.
Fagbami noted that dedication and collaboration paved the way for this significant advancements in sustainable energy and economic growth.
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