Publications

Survey of Energy Resources 2007

Natural Gas Country Notes

In contrast to the situation reported on in the 2004 Survey, published assessments of Nigeria's proved reserves of natural gas at the end of 2005 all fall within a narrow band (5 150 to 5 230 bcm). The level adopted for the present Survey is that quoted by Cedigaz and closely matched by OPEC (5 152), World Oil (5 154) and OAPEC/BP/Oil & Gas Journal at around 5 230 (note that OGJ quotes 5 151 for gas reserves as at 1 January 2007).

Nigeria's proved reserves on this basis are now the largest in Africa, ahead of those of Algeria, but historically its degree of gas utilisation has been very low. Much of the associated gas produced has had to be flared, in the absence of sufficient market outlets. Efforts are being made to develop gas markets, both locally and internationally, and to reduce flaring to a minimum. There are projects to replace non-associated gas by associated gas in supplies to power stations and industrial users. About 42% of Nigeria's gross gas production of 54.3 bcm in 2005 was flared or vented.

The Bonny LNG plant (commissioned in the second half of 1999) exported 12 bcm of natural gas as LNG during 2005, chiefly to Spain and France, with smaller quantities going to Portugal, Turkey and the USA. A project is under way for the construction of a pipeline to supply Nigerian associated gas to power plants in Benin, Togo and Ghana.