GGOEX to monetize Nigerian gas with Gulf Methanol
The local Junior company Gulf of Guinea Oil Exploration Limited (GGOEX) is investigating all opportunities to monetize natural gas in Nigeria through its purposely established subsidiary Gulf of Guinea Methanol Limited (GGML) to develop a world-scale methanol plant in the Niger Delta.
Even if Nigeria is topping Africa by the volume of production recorded at 1.2 tcf in 2012, it only appears in 25th position among the world natural gas producing countries.
The regulation to capture the flared gas in Nigeria came up in the same time as US started to develop their shale gas to depress the gas market prices, rising even more the challenges to monetize the gathered associated gas.
Haldor to provide GGOEX Gulf Methanol technology
Established in Lagos in 2011 by local funds, GGOEX created GGML in that perspective, using cheap natural gas glutting in the Gulf of Guinea to develop a local petrochemical industry for the most populated country in Africa.
Since methanol manages to maintain attractive and sustainable prices on the global market, the gas conversion into methanol offers the opportunity to supply the domestic market if the demand is large enough or to export in good commercial conditions.
The expectation is to use this supply of methanol to produce solvents from acetic acid, gasoline additive like methyl tertiary butyl ether (MTBE) or formaldehyde-based resins.
The Danish methanol specialist Haldor Topsoe will provide GGOEX with the technology while the UK-based IHS consulting company is working on the Gulf Methanol project feasibility study to be located on the Ugborodo Community territory in the Niger Delta.