Shell blames 3rd parties for non-diversion of Bonga gas to domestic market

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A spokesman for Shell Petroleum Development Company (SPDC), Mr. Bamidele Odugbesan has blamed the non-diversion of natural gas from the deep-water Bonga oilfield to the domestic market on third parties, stressing that it has largely concluded its technical scope of the Bonga diversion project initiated to supply 120 million standard cubic feet of gas per day, an equivalent of 650 megawatts of electricity into the domestic market, THISDAY reports.

He also explained that the delays in the execution of some of SPDC’s key gas projects initiated to deliver 2,000 megawatts of electricity into the national grid, noting also that the apparent decline in its domestic market share was mainly because of divestments of its acreages to indigenous players who continued to supply gas from those fields into the domestic market.

He noted that the SPDC JV is progressing on a number of domestic gas supply projects, particularly the anticipated completion of the Forcados Yokri gas project designed to provide 80mmscf/d on completion, Southern Swamp project and the new Final Investment Decision for Assa North/Ohaji South project, which was initiated by Shell and Chevron but in which Borkir International Company Limited, a subsidiary of Dangote Group has now replaced Chevron in the project.