2021 SAIPEC: Total Has Reduced Gas Flaring by 80% - Sangster
The need to move from the stage of the global crisis accentuated by Covid-19 towards a global opportunity for the Africa continent was the crux of the 5th edition of the Sub Saharan Africa International Petroleum Exhibition and Conference (SAIPEC) that commenced virtually on Wednesday, May 19, 2021.
Total’s Country Chair, Mike Sangster who was among thought leaders at the 3-day conference gave an insight into Total’s zero gas flare actions as a panelist at the conference. The session titled - IOC’s: Dynamics’s of Sub Saharan Africa’s Energy, Oil and Gas as we strive to a low carbon future, an IOC perspective, was an opportunity for leaders of International Oil Companies to let the world know of different ways they have reduced their carbon footprints and what the future portends.
“Over recent years, we’ve had like 80% reduction in gas flare. In 2014 we stopped flaring of gas on our Ofon phase 2 project, and it was awarded the World Bank 2015 Global Gas Flaring Reduction Excellence Award. Likewise, most of our other sites have zero routine flare. This is all about reduction in the emissions but also we monetise the gas to benefit the country,” said Mr. Sangster.
The Country Chair further explained that: “We’ve articulated in the past few years on growing in gas and renewables. There is an increase in demand for energy but there needs to be less carbon emissions. We’ve invested about 3 billion dollars per year across the business of renewables, but we still want to work on oil. We believe the world will still need oil for many years to come. The oil business is a volatile business and the only way to succeed is to focus on more break-even projects.”
The conference was also an opportunity for Total’s Country Chair to announce to participants the company’s name change to Total Energies in a few days. “There is a significant move in the company’s strategy. The “S” in Total Energies is deliberate. We want to be involved in oil, gas and electricity. At the moment we produce about 3 million barrels per day of oil equivalent split probably 50:50 between oil and gas. By 2030, we want to grow to 4 million barrel equivalent for the company. Though oil will stay around the same level, we expect gas to grow by a significant level.”
Sangster further advised for a right balance in the energy transition.
The 3-day conference with the theme: Post Covid 19 From Global Crisis To Global Opportunity recorded a participation of 1,021 delegates from 54 countries and 87 speakers.
Earlier in his keynote address, the Minister of State for Petroleum Resources, Timipre Sylva reiterated the country’s present administration’s focus on the Decade of Gas.
Mr. Sylva remarked that: “The pandemic sent economies around the world into a tailspin leading to unprecedented depression in the demand for oil. Consequently, the post Covid-19 world will continue to see the oil and gas industry accelerate its transition towards cleaner energy sources, products and service delivery and a clear paradigm shift from its traditional business model.”
The Minister enlightened participants that the strategy to strengthen Nigeria’s oil and gas industry is to transform Nigeria’s oil company to a diversified energy holding company that is able to function effectively. “We recently declared the Decade of Gas. It is our believe that developing domestic gas utilisation will not only cushion the effect of the deregulation of the downstream sector but also stimulate economic growth, improve Nigeria’s energy mix, drive investment and provide enormous job opportunities for Nigerians.”
The Director, Department of Petroleum Resources, DPR, Sarki Auwalu delivered the host country address to all African countries participating at the conference. “Africa must rise. We must rewrite our history by leveraging natural and human resources nature has bestowed on us to give wealth for our people,” he said.
In another panel session titled: Sub Saharan Africa’s Gas Industry, Gas Monetization and the importance of LNG and Gas to Power Projects, Total E & P Nigeria Ltd., Executive Director, Commercial & Strategy, George Oguachuba stated that Total is repositioning itself in all of Africa.
“Today, Total is the world’s number two in LNG targeting sales of close to 50 million metric tones per year by 2025. Looking at the domestic gas obligations, we have about 300 million standard cubic feet of gas per day, and three different contracts with domestic consumers for meeting this obligation. We have the supply to Alaoji Power plant, Greenfield mini LNG and we also have Indorama Petrochemical complex which started its operations about a month ago. With these three contracts, we have been able to meet our domestic gas obligation,” remarked Mr. Oguachuba.
Mr. Oguachuba stated that LNG plays an important role in growth globally, “but in Africa, its key for us.”
The General Manager, Partners, Authorities and Nigerian Content, Ivana Akariwe showcased Total’s local content leadership strides as a panelist while Senior Talent Developer, Kenechi Esomeju’s presentation on Total’s Inclusion and Diversity strategies earned Total laudable responses from participants.
Earlier in his opening address, the Chairman, Petroleum Technology Association of Nigeria (PETAN), Nicolas Odinuwe welcomed participants from other Africa countries to Nigeria. He reiterated PETAN’s role as the largest and leading advocacy group and urged participants to unlock Africa’s potentials in discussions at the exhibition and conference.
Total’s senior management and staff participated in the 5th virtual SAIPEC conference.
PETAN organises the SAIPEC conference to create, connect and ensure collaboration between Africa oil, gas and energy industry.