The Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, has announced that the Gas Supply and Purchase Agreement (GSPA) required to facilitate the Final Investment Decision (FID) for the Brass Methanol Project is scheduled to be signed in May 2024.
On Wednesday, Ekpo announced the outcomes of a meeting convened with key stakeholders of the project at his NNPC Towers office in Abuja.
According to a statement by the minister’s spokesperson, Louis Ibah, the meeting aimed to confirm the availability of sufficient gas supply from the NNPC/Shell/TotalEnergies/NAOC Joint Venture (JV) for the Brass Methanol Project. It also aimed to delineate the subsequent steps necessary to finalize and execute the Gas Supply and Purchase Agreement (GSPA) and advance the phase 2 of gas supply to the project.
Among the attendees were Olanrewaju Ugandan, the Head of Joint Venture (JV) Investment Management at NNPC Upstream Investment Management Services; Richard Orianzi, Deputy Managing Director of Nigerian Agip Oil Company (NAOC); Osagie Okunbor, Managing Director of Shell Petroleum Development Company Nigeria; and Ben Okoye, Managing Director of Brass Fertilizer and Petrochemical Ltd, among others.
During the meeting, Ekpo conveyed President Bola Tinubu’s keen interest in resolving issues related to gas supply for the Brass Methanol Project. He emphasized the president’s strong desire for the project’s prompt commencement to attract much-needed foreign direct investment (FDI) and foster economic growth in the country.
“Mr President is very passionate about this project and wants something positive to happen in respect of the Brass Methanol project before the end of May this year,” Ekpo said.
Situated on Brass Island in Bayelsa State, the Brass Methanol Project is spearheaded by Brass Fertilizer & Petrochemical Company Limited (BFPCL).
With a total investment of $3.8 billion, the project encompasses a gas processing plant, methanol production and refining facility, and export infrastructure for its products, among other components.
Following the meeting’s conclusion, Ekpo declared a successful resolution to the Gas Supply and Purchase Agreement (GSPA) matter. He announced that the agreement would be finalized by May and highlighted the full commitment of the NNPC/SPDC Joint Venture partners to ensure uninterrupted gas supply for the project’s development.