Michael Eboh
Dublin, Ireland — Nigeria lost $917.3 million, about N1.459 trillion to gas flaring in eleven months, as oil and gas companies operating in the country’s offshore and onshore oil fields flared 262.1 billion standard cubic feet of gas (SCF) between January and November 2024, according to the National Oil Spill Detection and Remediation Agency (NOSDRA).
NOSDRA, in its gas flare report for the 11-month period, disclosed that the volume of gas burnt by the oil firms in the period under review was 8.98 per cent higher than the 240.5 billion SCF flared in the same period in 2023.
It further stated that the quantity of gas flared between January and November 2024 contributed 13.9 million tonnes of greenhouse gas; had power generation potential of 26,200 gigawatt-hour (GWh), while the firms were liable for penalties payment of $524.2 million, about N833.478 billion.
Conversely, between January and November 2023, oil firms flared 262.1 billion SCF (BSCF) of gas valued at $841.7 million, about N1.338 trillion, with penalties payable at $480.9 million, about N764.631 billion; emitted 13.9 million tonnes of carbon dioxide and the gas flared had power generation potential of 26,200 GWh.
Giving a breakdown of gas flared across the different operating oilfields, NOSDRA reported that companies operating onshore accounted for 55.73 per cent of total gas flared between January and November 2024, with 146 billion SCF of gas valued at $511.2 million, about N812.808 billion; with penalties payable at $292.1 million, about N464.439 billion; having the potential to generate 14,600 GWh of electricity, while the quantity of gas flared emitted 7.8 million tonnes of carbon dioxide into the atmosphere.
In comparison, between January and November 2023, companies operating offshore flared 378.9 billion SCF of gas, accounting for 45.02 per cent of total gas flared during that period; while the gas flared was valued at $378.9 million (N602.451 billion); had power generation potential of 10,800 GWh; emitted 5.8 million tonnes of carbon dioxide; while the offence attracted penalties of $216.5 million, about N344.235 billion.
On the other hand, NOSDRA disclosed that companies operating offshore caused the country a loss of $406.1 million, about N645.699 billion, between January and November 2024, as they flared 116 billion SCF of gas, which emitted 6.2 million tonnes of carbon dioxide into the atmosphere; with the quantity flared capable of generating 11,600 GWh of electricity; while the companies were liable for penalties payment of $232.1 million, about N369.039 billion.
In contrast, in the same 11-month period in 2023, companies operating offshore flared 132.2 billion SCF of gas, accounting for 54.8 per cent of total gas flared in the period and causing the country a loss of $462.8 million (N735.852 billion); with carbon dioxide emissions of 7.0 million tonnes; loss of power generation capability of 13,200 GWh; while the firms were liable for penalties of $264.5 million (N420.555 billion).
NOSDRA noted that the offending companies flared gas from Oil Mining Leases (OML) 04, 05, 11, 13, 14, 17, 18, 22, 28, 23, 24, 38, 40, 42, 43, 72, 49, 54, 90, 95, 67, 70, 104, 59, 99, 100, 101, 102 and Oil Prospecting Licences 222, 316 and 306, among others.
It listed the companies as Shell Petroleum, Development Company (SPDC), Nigerian Petroleum Development Company (NPDC), Chevron Nigeria, Mobil Oil, Elf Petroleum Nigeria, Nigeria Agip Oil Company (NAOC), Addax Petroleum, Texaco Overseas (Nigeria), Esso Exploration and Production Nigeria, Allied Energy Resources, Ultramar Petroleum, Atlas Petroleum; Cromwell, Afric Oil and Marketing, Famfa Oil, Moni Pulo, and South Atlantic Petroleum, among others.
