Sino-Nigerian companies ink $1 billion gas flaring agreement.
A $1 billion deal has been inked between a Chinese company called Beijing Zhogmin Xinjunlong New Energy Technology Company Ltd. and a Nigerian corporation called NIGUS International to finance and develop gas flaring solutions for Nigeria.
President Bola Tinubu’s national command prompted Friday’s accord signing in Abuja.
This historic agreement would bring Nigeria into the global community of green, sustainable energy producers and put a stop to gas flaring.
The cooperation with the Chinese business is to utilise its new state-of-the-art technology profile to convert flared gas for commercial usage, according to HRH Malik Ado Ibrahim, Chairman and Chief Executive Officer of NIGUS, who spoke at the agreement signing.
Among the many products that will be made possible by this cutting-edge technology, he claims that gas-to-liquid (GTL) will be one of them. Other products will include a synthetic diesel-to-galvanize energy mix, LNG for export, and CNG, or cooking gas.
Utilising gas-to-liquid (GTL) technology, natural gas—the most environmentally friendly fossil fuel—can be transformed into premium liquid fuels like diesel, jet fuel, and petrol.
In this joint venture, NIGUS, a renewable energy provider, will work with a technological partner to help Nigeria transition to a clean climate economy and put its current energy waste to good use by producing cheaper electricity.
It would appear that we are not adding to the carbon footprint; in fact, we flare a significant amount of gas, and almost 90% of our Nigerian production is flared rather than used.
In a joint effort with China, we are bringing to play cutting-edge technologies that will produce cheaper energy while simultaneously creating prosperity and achieving carbon neutrality.
The project’s goal is to show that the president can use flared gas, and this technology will make that a reality.
With the help of the GTL, we can transform the gas into liquid LNG. The ability to embed technology where it is needed, rather than incurring additional infrastructure expenses, is the paradigm shift, he explained.
He elaborated on how the packaging would help Nigeria’s economy grow and thrive by creating jobs.
Global green money could be available to Nigeria if the country can successfully promote this technology. The joint ventures would be able to access the kind of cash that Mr. President will make available for Nigeria, according to our carbon footprint and neutrality profile, he said.
Beijing Zhogmin Xinjunlong New Energy Technology Company Ltd. CEO Yung Ruming expressed preparedness for the partnership and said that the company’s technical staff and equipment would be deployed to make the project a reality.
Ruming applauded the Federal Government for allowing the company to complete the work.
He made the point that the project would be very beneficial to the Nigerian people because of the cordial relations between China and Nigeria in recent years.