The Nigerian National Petroleum Company Ltd has revealed that the nation faces significant funding shortages for developing its domestic gas projects. This gap in funding is being leveraged by international oil companies that focus primarily on supporting gas exports.
Speaking at a Strategic Panel Session titled “Decarbonising Operations across Upstream, Midstream and Downstream” at the Abu Dhabi International Petroleum Exhibition & Conference (ADIPEC) in Abu Dhabi, United Arab Emirates, Group Chief Executive Officer Mele Kyari, represented by Executive Director, Upstream, Oritsemeyiwa Eyesan, addressed these issues.
In a statement signed by Chief Corporate Communications Officer Olufemi Soneye, it was noted that this year’s ADIPEC, the 40th edition of the event, is themed “Connecting Minds Transforming Energy.” Energy leaders from across the globe are gathering to foster innovation and collaboration in order to accelerate the global energy transition.
Kyari highlighted Nigeria’s substantial gas reserves, which amount to approximately 209 trillion cubic feet, yet pointed to capital access as a major hurdle. “It is important to know that if we must solve this existential problem, then there should be a provision for the global south (less energy-endowed countries) to access capital to enable them to address their problems,” he observed.
The national oil company also advocated for increased collaboration and transparency across the global energy sector in the effort to reduce carbon emissions and achieve net zero by 2050. Kyari emphasised that fostering transparency and openness should not involve vilifying those falling behind but instead bridging the gaps between different parties.
Africa, he noted, faces the dual challenge of decarbonisation and energy poverty. To address this, Nigeria has implemented two key policy shifts aimed at supporting decarbonisation. “One is declaring the decade of gas as a transition fuel from a predominantly diesel and fuel economy to a gas-driven economy, while the second is the removal of fuel subsidy. NNPC Ltd has relied on these two policies to drive the nation’s decarbonisation agenda,” Kyari said.
He also pointed out that as a signatory to the Oil & Gas Decarbonisation Charter, Nigeria is working towards ending gas flaring by 2030 through initiatives that utilise gas for automotive and power generation.
Kyari voiced concerns over the equal treatment of all countries in the decarbonisation push, arguing that progress should be assessed based on each country’s current circumstances. “It is in understanding the differences that exist among us, even though we are trying to solve the same problem,” he added.
Kyari described the collaborative efforts in decarbonisation as “phenomenal,” citing TotalEnergies’ partnership with NNPC Ltd to employ methane measurement and detection technology as a key example.
With more than 180,000 participants, ADIPEC is recognised as the world’s largest and most inclusive gathering of energy professionals.
