Nigeria’s Minister of State for Petroleum Resources and group Managing Director of Nigerian National Petroleum Corporation (NNPC), Dr Emmanuel Ibe Kachikwu has said the Federal Government would jettison some planned and ongoing oil and gas projects in the country if the unit price of crude oil for such projects fails to hit a set threshold of $20 per barrel, Vanguard reports.
Kachikwu, made this disclosure at a briefing in Abuja to announce the forthcoming African Petroleum Producers Association’s, APPA, 6th Africa Petroleum Congress and Exhibition (CAPE VI) to be hosted by Nigeria between March 15 and 17, 2016.
Some of the oil and gas projects that have been stalled include the $20 billion Brass Liquefied Natural Gas (LNG) project, Olokola LNG, Train 7 of the Nigeria LNG; the $3 billion Funiwa gas project, the multi-billion dollar Nsikko project, Satellite field II, Bonga South West and various pipeline projects among others.
According to Kachikwu, who is also the President of APPA, the Federal Government is engaging with oil majors and other stakeholders and is being very astute in terms of asset management to trim down costs, adding that it is becoming a bit more preferential in terms of cost, with regard to driving the investments that it makes going forward.
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