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Optimera Energy Flags off Construction of Gas Distribution Infrastructure at Lagos Free Zone

Optimera Energy LFZ Enterprise, a prominent integrated energy solutions provider, has flagged off the construction of infrastructure at the Lagos Free Zone to distribute Natural Gas to companies operating within the Zone.

Optimera Energy is a consortium made up of Falcon Corporation Limited, an indigenous and integrated gas value chain company with expertise in delivering world-class energy solutions across the midstream and downstream sectors of the industry; FHN Gas Limited and ND Western Midstream Limited, which are affiliates of upstream companies with combined gas reserves of over 4Tcf, currently producing over 350MMscf/d into the Nigerian domestic gas market.

Speaking during the ground-breaking ceremony held at the zone on January 9, 2024, the Managing Director of Optimera Energy, Audrey Joe-Ezigbo, disclosed that the infrastructure is comprised of a 25MMScf/D City Gate Station, scalable to 100MMScf/D, together with necessary ancillary infrastructure which includes 10km distribution lines within the zone as well as a 6.5km x 10 inches gas pipeline from the Escravos – Lagos Pipeline System tie-in point in the Lekki corridor outside the zone to Optimera City Gate Station at the Lagos Free zone.

She explained that Optimera Energy signed a 20-year Gas Infrastructure Development Agreement, GIDA, with the Lagos Free Zone Company, LFZC, to connect off-takers to our gas distribution infrastructure within the zone.

“The LFZC has invested over $2.5 billion in building a world-class facility integrated with Lekki Deep Seaport in the Zone, and we are excited to be part of this infrastructural development in our nation, Nigeria, particularly as this project is fully aligned with the nation’s Decade of Gas aspirations,” she said.

The MD added that Optimera Energy was established to address gaps in energy access while creating sustainable value for its stakeholders. According to her, ‘We are committed to championing Nigeria’s energy transition to cleaner fuels by leveraging on the Nation’s abundant Natural Gas low-carbon resources. We are working to ensure that Nigeria’s Natural Gas resources are responsibly and efficiently utilized from the upstream and downstream sectors of the value chain. Our mandate is to execute projects to deepen domestic Natural Gas consumption and utilization in Nigeria and across Africa’.

Also speaking during the groundbreaking ceremony, the Chief Executive Officer of Lagos Free Zone Company, Dinesh Rathi, stated, “Today is a critical milestone for us at Lagos Free Zone to get one step closer to our goal of providing reliable and cleaner energy solutions to meet the needs of existing and future tenants at LFZ. With the start of commercial operations at Lekki Port, delivery of piped natural gas to each enterprise at LFZ would further realize our vision to be the preferred industrial hub in West Africa with world-class infrastructure”.

In his remarks at the ground-breaking ceremony, the Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, described the project as a significant milestone in the country’s journey toward a more sustainable and energy-efficient future.

While congratulating Optimera Energy for its visionary approach and commitment to advancing the nation’s energy landscape, Ekpo explained that the development of a 25 million standard cubic feet per day City Gate Station, scalable to 100 million standard cubic feet per day, along with the necessary ancillary infrastructure reflects not only the company’s dedication but also a shared vision for a thriving and resilient Nigeria.

“Natural Gas is a pivotal component in our energy matrix, offering cleaner and more efficient solutions. The infrastructure we are launching today is not just about pipes and stations but about powering communities, industries, and dreams. It is about creating a foundation for economic growth, job creation, and environmental sustainability. It is about making Nigeria an economic giant using our abundant gas resources,” he said.

Also speaking at the occasion, the Special Adviser to the President on Energy, Olu Verheijen, stated that the partnership between Optimera Energy and LFZ is a landmark achievement in Nigeria’s energy sector, noting that the 20-year infrastructure development agreement signifies more than just an investment but a testament to the companies’ commitment to harnessing Nigeria’s natural resources responsibly and efficiently.

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