- Category: Business and Economy
- Published on Friday, 25 March 2011 14:26
- Written by Compass
- Hits: 2314
WITH a proven gas reserves base estimated at 187 trillion cubic feet and a further undiscovered potential of 600 trillion cubic feet, President Goodluck Jonathan yesterday launched the country’s Gas Revolution.
The initiative, he said, would result in about $25 billion worth of investments in the country and create about 500,000 jobs, when fully implemented.
Launching the “Gas Revolution: Rebirth of Nigeria’s Industrialisation” at the Banquet Hall of the State House, Abuja, the President expressed optimism that it will end gas flaring in the country, as the product will be utilised by the market that will be created.
He noted that apart from earning about $10 billion over the next three years, the initiative will also generate thousands of direct and indirect jobs expected to be created from construction and other related fields.
According to him, the event marked the beginning of a journey towards the restoration of the country into the league of nations, which have successfully enjoyed the advantage of the abundance of natural gas to positively impact on the lives of the present and future generations of its citizens.
It is expected that by 2014, the government would have positioned the country firmly as the undisputed regional hub for such gas-based industries as fertilizer, petrochemicals and methanol.
Jonathan added: “As a nation, we are continually striving to realise the fullness of the great potential in the vast human and natural resources, which Nigeria has been blessed with. One such major resources is our proven gas reserves base estimated at 187 trillion cubic feet and a further undiscovered potential of 600 trillion cubic feet.
“Today’s (yesterday) event marks the beginning of what I believed will be a fulfilling journey towards the restoration of Nigeria into the league of nations, which have successfully leveraged on the advantage derivable from the abundance of natural gas to positively impact on lives of present and future generations of our citizens.
“Based on agenda which we launched today, it is our expectation that by 2014, we would have positioned Nigeria firmly as the undisputed regional hub fro such gas-based industries as fertilizer, petrochemicals and methanol. Because we intend to pursue this aspiration to industrialise Nigeria aggressively, we recognise that our objective can only be achieved through a revolution.
“The focus is to catalyse a major industrialisation of the country by seeding in a few anchor investments that have the highest potential to have far-reaching secondary multiplier effect on the economy.
“The investments being launched today (yesterday) will result in foreign direct investment of about $10 billion over the next three years. The full implementation of the entire gas master-plan agenda will result in about $25 billion worth of investments in gas processing, transmission and downstream gas utilisation projects.
“Beyond the quantum of foreign investment, the economic impact of this agenda will be enormous. In terms of employment and wealth creation, we estimate that over 100,000 engineering design and construction-related jobs will be created from about 2012 and beyond to deliver all these plants.
“The strategy we have adopted for fertilizer project means we expect a significant increase in employment from the agricultural sector. In total, this initiative will result in over 500,000 direct and indirect jobs from construction, logistics, hotel and hospitality service,fabrication, banking and above all, agriculture.
“This initiative provides a platform for the actualisation of the intent of our National Content law. Full application of the National Content Law means that as we stimulate these opportunities, a significant portion of the jobs created will be for Nigerians.
“Above all, this agenda sets the tone for the final elimination of gas flaring in Nigeria as the markets created provide a sink for all currently flared gas. Your decision to invest in Nigeria testifies to the confidence you have in our vision and the faith you have in our country.”
Meanwhile, Delta State Governor Emmanuel Uduaghan has assured investors in the oil and gas sector of adequate security of their investments in the state as the Federal Government and multinationals sealed deals to establish petrochemical and fertiliser companies in the state.
He told State House correspondents shortly after the launch of the Gas Revolution that with the success of the Federal Government amnesty programme and the determined efforts of the people of the state, the multinational companies should have no cause to fear over their investments in the Niger Delta.
Said Uduaghan: “First of all, let me say this about investments, security is not a major issue in investment, what is the major issue is good governance. In some parts of the world, there are insecurity but people are investing.
“We have been doing it in the last four years to ensure that we bring security, peace to that area and this is coupled with the Federal Government amnesty programme, which is highly successful and which we as a state are contributing our part to key into.” Highlight of the occasion was the signing of a Memorandum of Understanding (MOU) with investors from Saudi Arabia, India, Italy and the United States (U.S.) in respect of various investments.
Present at the launch were some governors, ministers and top government functionaries.