The Federal Government has commended Southfield Petroleum Limited (SPL) for its 200 million standard cubic feet per day (200MMSCFD) gas processing plant, a project designed to bridge Nigeria’s persistent supply shortfall for power generation and industrial growth.
Developed in partnership with the Nigerian Content Development and Monitoring Board (NCDMB), the facility was celebrated at a groundbreaking ceremony on Tuesday at the Utorogu gas processing plant site.
Speaking at the event, the Minister of State for Petroleum (Gas), Ekperikpe Ekpo, said the plant would stimulate significant capital inflow, create direct and indirect employment, and catalyse industrial growth across multiple sectors. He added that it would meaningfully support Nigeria’s gas-flaring reduction commitments and broader climate objectives, while holding immense promise for the host community.
The Minister of State for Petroleum (Oil), Heineken Lokpobiri, urged community leaders to protect the facility, noting that its economic impact would be substantial.
SPL’s managing director, Pius Aigbomeikhe Bawa, underscored the project’s strategic alignment with the federal government’s ‘Decade of Gas’ initiative, emphasising its role in enhancing domestic gas availability for power generation and industrial growth, as well as reducing gas flaring.
Felix Ogbe, executive secretary of the NCDMB, explained that the 200MMSCFD facility would process wet gas from the OML 34 field, removing impurities to produce liquefied petroleum gas (LPG), propane and condensate, while supplying lean gas to the domestic pipeline network.
Upon completion, the plant is expected to yield approximately 123,000 metric tonnes of LPG per annum, significantly boosting domestic cooking gas availability and reducing reliance on imports. It will also deliver about 22,000 metric tonnes of propane and 72,000 metric tonnes of condensate annually, strengthening Nigeria’s midstream value chain.