NUPRC Issues Permits to 28 Firms under Gas Flare Initiative, Targets $2bn Investment

·Flare capture set to eliminate 6m tonnes of CO₂ annually

·To unlock 3GW of power generation, create 100,000 jobs

Emmanuel Addeh in Abuja and Peter Uzoho in Lagos

The Nigerian Upstream Petroleum Regulatory Commission (NUPRC) yesterday announced the issuance of ‘Permits to Access Flare Gas’ to 28 successful awardees under the Nigerian Gas Flare Commercialisation Programme (NGFCP).

The commission stated that the development marked a pivotal shift from environmental liability to economic opportunity in Nigeria’s upstream petroleum sector, stressing that the initiative is expected to attract $2 billion in investments, and create over 100,000 jobs.

A statement by the NUPRC’s Head of Media and Strategic Communications, Eniola Akinkuotu, stated that the commission awarded the permits to the winners at the official ceremony held in Abuja.

The NUPRC listed the successful awardees as: Ace Energy Limited; Afagaf Company Limited; AGH Lero; Almina Resources Limited; Amazon Energy Limited; AUT Energy; Beluga Asiko; Bodej Investment Limited; Cainergy Limited and Cimcmonobuo Nigeria Limited.

Besides, Dawcon Consortium; Dawnwatch Limited; Fargab Limited; Folstaj International Limited; Geospectra Energy Limited; Izzi Project Limited; and MMLet Energy Limited were also issued permits.

Others included: MSN Consortium; Newgaz Integrated Services Limited; NG Lyon Construction Limited; Oaks Cluster Energy; Seal Energy Limited; Tecnis EPS International Limited; Teobell International; Terms Energies; Zipora Gas; and Stelog Gas Company Limited.

The permit issuance, the commission said, marked a major milestone in NUPRC’s quest to utilise flare gas and move Nigeria towards achieving its net-zero target.

Chief Executive of the NUPRC, Gbenga Komolafe, said the issuance of the Permit to Access Flare Gas (PAFG) under the 2022 NGFCP signified the transition from legacy challenges to market-driven solutions that unlock economic opportunities, strengthen energy security, reduce emissions and improve operational efficiency across the industry.

He stated that the permit aligned with the presidential ambition and Nigeria’s carbon-reduction goals.

“The commission is pleased to announce that 28 awardees have fully executed the required suite of commercial agreements, which include the Connection Agreements, Milestone Development Agreements, and Gas Sales Agreements; and now qualify to receive the Permit to Access Flare Gas.

“These entities represent a strong blend of operational capability, financial readiness, and technological competence. To all our flare site awardees soon to become Permit Holders, I offer warm congratulations,” the NUPRC chief executive said.

He added that the award aligned with the vision of President Bola Tinubu for the country to harness hydrocarbon resources, as reflected in the Executive Orders issued in 2024. He explained that the NGFCP was redesigned after the enactment of the Petroleum Industry Act (PIA) and refined for transparency, commercial viability, and global competitiveness.

“From 300 initial expressions of interest, 139 applicants qualified for the RFP stage. Following a competitive and transparent evaluation process, 42 successful bidders were awarded 49 flare sites, an achievement widely recognised for its integrity and rigour,” he said.

On the benefits of the award, Komolafe said the programme is expected to reduce carbon dioxide by 6 million tonnes yearly, attract $2 billion in investments, and create over 100,000 jobs.

“A total of 49 flare sites have been auctioned. Forty-two bidders have been awarded the sites. Between 250 and 300 mmscfd of currently flared gas will be captured and commercialised, eliminating approximately 6 million tonnes of carbon dioxide (CO₂) annually.

“The programme is expected to attract up to $2 billion in investment. More than 100,000 direct and indirect jobs will be created. About 170,000 metric tons of LPG will be produced annually, enabling clean energy access for approximately 1.4 million households. And nearly 3GW of power generation potential will be unlocked,” Komolafe noted.

He disclosed that an NGFCP Forum and College of Awardees has been established to support project implementation and knowledge exchange, revealing that the NUPRC has deepened engagement with international financiers and technology partners.

Komolafe said that although the issuance of the permit was significant, it only signalled the start of the implementation phase, explaining that while the competitive bid process may now be complete, the real work had just begun.

“Engineering, construction, financing, commissioning must begin in earnest. Be assured however, that the commission remains fully committed to providing the needed regulatory support for the awardees and now permit holders to meet their timelines and obligations,” he added.