Nigeria losing up to $5 billion to gas flaring annually

Nigeria is said to be losing between $3.5 billion to $5 billion to gas flaring annually, despite current efforts at achieving flare-out.

The problem of gas flaring has remained unresolved in Nigeria for many decades.

This was revealed by Soni Oyekan, president and owner of Prafis Energy Solutions, USA, a globally renowned expert in oil and gas and oil refining, and one of the leading American chemical engineers.

Oyekan, who was keynote speaker on “Boost Nigeria’s Economy via Gas Monetization and Oil Refining” at the 4th Port Harcourt international petroleum downstream conference on gas, petroleum refining, petrochemicals and fertilizers, said gas is Nigeria’s future growth driver, and the country must put incentives to attract major investors in the sector.

According to the Nigerian born international chemical engineer, who has provided technical and process technology management for over 30 refineries globally, including 21 refineries of Sunoco, BP/ Amoco, Nigeria must move away from crude export to revamp oil exploration and production (E&P) sector.

He also advised the nation to balance its gas export, which is one of the clean energy much sought after globally.

Oyekan also said Nigeria must make its economy to be tax-driven, where tax revenue should constitute a major part of the gross domestic product (GDP). He said currently Nigeria’s tax revenue contribution to GDP is 6.1 percent; whereas countries like Tanzania has 12.0 percent.

With a doctoral studies in heterogeneous catalysis and reactor engineering, Oyekan said Nigeria must boost investor confidence, balance its gas export, where he said countries like Saudi Arabia are currently exporting 5.5 million standard cubic metres, aiming to go up to 10 million standard cubic metres.

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