May 30, 2024

Nigeria announces signing of GSPA for $3.8bn Brass methanol project in May


Adewale Akintaro

The Federal government has disclosed that the Gas Supply and Purchase Agreement, GSPA, which will foster the Final Investment Decision for the Brass Methanol Project would be signed in May, this year.

Minister of State for Petroleum Resources (Gas), Rt. Hon. Ekperikpe Ekpo, stated that since he had successfully resolved the GSPA issue, the NNPC/SPDC JV partners were now fully ready and committed to uninterrupted gas supply for the development of the $3.8 billion project.

Ekpo made this disclosure after a meeting held with key stakeholders of the project, meant to confirm adequate gas supply to the Brass Methanol Project by the NNPC/Shell/TotalEnergies/NAOC Joint Venture, as well as determine the next steps to conclude and execute the GSPA and mature the phase II of gas supply to the project.
Present at the meeting were the Head of Joint Venture, Investment Management, NNPC Upstream Investment Management Services, Mr. Olanrewaju Igandan; Deputy Managing Director, Nigerian Agip Oil Company, Mr. Richard Orianzi; Managing Director, Shell Nigeria, Mr. Osagie Okunbor; Managing Director of Brass Fertilizer and Petrochemical Ltd, Mr. Ben Okoye, among others.

The Minister told the gathering of President Bola Tinubu’s strong interest in resolving issues relating to gas supply to the Brass Methanol Project.
According to him, President Tinubu was passionate about the speedy kick off of the project so that it could bring in the much needed FDI with attendant economic benefits to 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.
The Brass Methanol Project, located on Brass Island in Bayelsa State, is sponsored by Brass Fertilizer & Petrochemical Company Limited, BFPCL, is made up of a gas processing plant, a methanol production and refining plant, product export facilities, among others.

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