The Federal Government has sealed a landmark gas supply pact with multinational oil giants Shell, TotalEnergies, and Agip for the $3.3 billion methanol production project of Brass Fertilizer & Petrochemical Company Ltd.

Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, lauded the signing as a vital step towards rapid industrialization and economic expansion.

“This agreement underscores our commitment to harnessing Nigeria’s gas resources for sustainable progress,” Ekpo noted.

The project, situated on Brass Island in Bayelsa State, will rake in over $1.5 billion annually from exports of fertilizers, petrochemicals, and other gas-based products.

Nigeria will reduce fertilizer imports by 30% and save approximately $200 million in foreign exchange annually.

The Nigerian National Petroleum Company Limited (NNPCL) and its partners will supply 270 million standard cubic feet of gas daily.

The project, valued at $3.5 billion, will contribute around $600 million annually to Nigeria’s GDP.

It will create over 5,000 direct jobs and 35,000 indirect jobs, significantly improving livelihoods in the Niger Delta.

Executive Vice President of Upstream NNPC, Oritsemeyiwa Eyesan, stressed the agreement’s importance in achieving Nigeria’s methanol production objectives.

The pact aligns with Nigeria’s commitment to eliminating routine flaring by 2030 and advancing the National Gas Policy.