The Federal Government has given approval for the construction of a Liquefied Petroleum Gas extraction plant in Rivers State. The Department of Petroleum Resources gave the approval to construct the LPG plant to Green Energy International Limited after it had earlier issued the firm a licence to establish the facility, according to a statement issued in Abuja on Friday.
The Director, Legal and Corporate Matters, Green Energy International, Olusegun Ilori, said the government gave the nod for the commencement of construction of the 12 million standard cubic feet per day capacity LPG extraction plant at Ikuru town in Rivers State.
Green Energy is the operator of the Otakikpo marginal field in Oil Mining Lease 11.
“The ATC (approval to construct) of the 12mmscfd capacity plant was issued to the company sequel to the successful submission of the detailed engineering design of the plant, whose LTE (licence to establish) was issued in 2017,” the firm stated.
It noted that the engineering design was done under the supervision of the indigenous operator by the contractor, PCC-LAMBDA Consortium, which was formed by Nigerian companies and a Chinese firm, Peiyang Chemical Equipment Company Limited.
Green Energy, which began production in February 2017, stated that it was determined to ensure full utilisation of the gas produced from the field for LPG and power generation, among other projects.
Ilori explained that the gas utilisation plant involved the use of the lean gas to power the 12 megawatts gas generator at the Otakikpo field, out of which 5MW would be dedicated to the host communities.
According to him, the LPG and propane will be bottled and sold, adding that part of the LPG would be for domestic use within Otakikpo communities in order to support small-scale industries in the region.
