By Giwa SHILE
Oil and gas companies operating in Nigeria flared 260.17 billion Standard Cubic Feet (scuf) of gas between January and November 2018, according to data released by the Nigerian National Petroleum Corporation (NNPC).
Using an average gas price of $3.50 per 1,000 scuf and an exchange rate of N310 to a dollar, the flaring of 260.17 billion scud of gas translates to a loss of N282.284 billion in 11 months.
The NNPC, in its Monthly Financial and Operations Report for November 2018, disclosed that the amount of gas flared from January to November 2018 represented 10.02 percent of total gas produced in the same period.
Particularly, the report noted that out of the total gas output of 2.596 trillion scuf, 391.58 billion scuf was supplied to the domestic market, with 243.55 billion scuf and 148.04 billion scuf utilized by the power and industrial sector respectively.
Out of the total output, the report disclosed that 1.117 trillion scuf of gas was exported, with 23.14 billion scuf sent to the West African Gas Pipeline; 63.3 billion scuf was utilsed by the Escravos Gas to Liquid; while 32.27 billion scuf and 998.29 billion scuf was utilized for Natural Gas Liquid/Liquefied Petroleum Gas and the NLNG respectively.
However, out of the total, the report noted that 1.09 trillion scuf of gas was not commercialized, with 704.5 billion scuf, 122.68 billion scuf and 260.17 billion scuf was re-injected, used as fuel gas and flared respectively.
In its month-on-month analysis of the volume of gas flared, the NNPC report disclosed that in January, February, March, April, May, June and July 2018, 31.68 billion scuf; 27.25 billion scuf; 26.88 billion scuf, 23.06 billion scuf, 21.20 billion scuf; 21.66 billion scuf and 21.21 billion scuf respectively.
On the other hand, 22.42 billion scuf, 20.54 billion scuf, 20.51 billion scuf and 23.78 billion scuf of gas were flared respectively in August, September, October and November 2018.
