The Joint Venture partners including SPDC, NNPC Limited, TotalEnergies, and Eni have signed a Gas Sales and Purchase Agreement (GSPA) for the $3.5 billion Brass Fertilizer and Petrochemical project in Bayelsa State.
A statement by the Ministry of Petroleum Resources on Friday said the signing of the agreement, supervised by the Minister of State Petroleum Resources (Gas), Rt. Hon. Ekperikpe Ekpo, paves the way for the Brass Fertilizer and Petrochemical Company Limited (BFPCL) and its partners to achieve financial close for the Brass Fertilizer and Methanol Project.
The oil companies are expected to supply 270 million standard cubic feet of gas per day (270MMscfd) to BFPCL, the largest single GSPA to any domestic gas offtaker in Nigeria.
This project is expected to generate over $1.5 billion annually from exports of fertilizers, petrochemicals, and other gas-based products.
Ekpo in his speech at the event praised President Bola Tinubu’s steadfast support and guidance, saying, “Achieving this GSPA showcases Nigeria’s business-friendly environment and the government’s commitment to investor-friendly policies.”
The Gas Minister urged all parties to maintain their steadfastness, expecting BFPCL and its partners to achieve financial closure and commence construction soon to “bring in much needed Foreign Direct Investment (FDI) and create thousands of jobs for our teeming population, while changing the face and fortunes of the host Bayelsa State and community for good.”
Permanent Secretary, Ministry of Petroleum Resources, Ambassador Nicholas Ella Agbo described the GSPA as a significant milestone in monetizing Nigeria’s vast gas reserves, currently over 209 trillion cubic feet.
