L
LequteMan
Guest
Nigeria - Oando Gas& Power Chief Executive has disclosed that cheap gas is hampering production of the commodity.
According to Reuters, he said Nigeria needs to increase natural gas prices for power plants further to help encourage more gas exploration and production.
"We don't see a big rush (of activity) even at $2.50. People argue anything upwards of the $3 mark would probably start to incentivise exploration and production. On a netback basis, they argue it should be close to $4 or $4.50," he added.
Nigeria has the ninth largest proven gas reserves in the world at 187 trillion cubic feet (tcf), but exports around 35 percent of its gas production, loses 48 percent to flaring and reinjection and consumes just 15 percent domestically.
#Oando #Nigeria
According to Reuters, he said Nigeria needs to increase natural gas prices for power plants further to help encourage more gas exploration and production.
"We don't see a big rush (of activity) even at $2.50. People argue anything upwards of the $3 mark would probably start to incentivise exploration and production. On a netback basis, they argue it should be close to $4 or $4.50," he added.
Nigeria has the ninth largest proven gas reserves in the world at 187 trillion cubic feet (tcf), but exports around 35 percent of its gas production, loses 48 percent to flaring and reinjection and consumes just 15 percent domestically.
#Oando #Nigeria
