The Ministry of Petroleum Resources has announced a significant milestone with the signing of a Gas Sale and Purchase Agreement (GSPA) for the Brass Fertilizer and Methanol Project. The agreement, supervised by the Minister of State for Petroleum Resources (Gas), Rt. Hon. Ekperikpe Ekpo, facilitates the provision of 270 million standard cubic feet of gas per day (MMscfd) to the Brass Fertilizer and Petrochemical Company Limited (BFPCL). This is the largest single GSPA to any domestic gas offtaker in Nigeria.
The project is poised to generate over $1.5 billion annually through exports of fertilizers, petrochemicals, and other gas-based products. The Minister praised President Bola Tinubu for his support, emphasizing the government’s commitment to investor-friendly policies. He also urged all stakeholders to ensure the project achieves financial closure soon, as it is expected to bring significant Foreign Direct Investment (FDI), create thousands of jobs, and positively transform Bayelsa State and its communities.
Ambassador Nicholas Ella Agbo, Permanent Secretary of the Ministry, noted that the project would help monetize Nigeria’s vast gas reserves, estimated at over 209 trillion cubic feet. It is projected to reduce fertilizer imports by 30%, saving Nigeria $200 million annually in foreign exchange, contribute $600 million to the country’s GDP, and create over 5,000 direct jobs and 35,000 indirect jobs, benefiting the Niger Delta region in particular.
Dr. Ben Okoye, Managing Director of BFPCL, emphasized the importance of utilizing Nigeria’s gas resources while they remain relevant and praised the leadership of President Tinubu and Minister Ekpo in finalizing the GSPA.
Bayelsa State Governor, Sen. Douye Diri, welcomed the project as a major employment opportunity for the youth in Bayelsa and Nigeria. He invited investors to explore the state’s peaceful environment, describing it as an “investment heaven.”