Uche Usim (Abuja) and Adewale Sanyaolu
The Nigerian Gas Company (NGC), the gas transportation subsidiary of the Nigerian National Petroleum Corporation (NNPC), has recorded a profit after tax of N13.29 billion for the year ended December 31, 2018.
The figure represents an increase of 117 per cent from N6.11 billion in 2017 to N13.29 billion in the year under review. The company’s performance figure was disclosed by the Chairman of the company’s Board of Directors and NNPC Chief Operating Officer (COO), Upstream, Mr. Roland Ewubare, at the 24th Annual General Meeting (AGM) of the Company in Abuja, yesterday.
According to him, the increase in the company’s revenue and profit was attributed to increase in the volume of gas transported, cost reduction initiatives, effective pipeline operations and maintenance, and cordial relations with host communities.
But, to further boost its revenue,Ewubare said NGC is looking at expanding its footprint in the nation’s gas sector by diversifying into gas processing services.
In his address, Ewubare explained that the company, in a bid to shore up its revenue base, had acquired equity in a number of gas processing concerns which include the Assa North-Ohaji South (ANOH) Gas Processing Company (AGPC), Makaraba Gas Processing Project and the Sapele Gas Compression Project. “Completion of these gas processing projects are expected to significantly increase NGC’s revenue and boost the Federal Government’s Economic Recovery and Growth Plan”, the COO enthused.
Also speaking at the event, Managing Director of NGC, Dr. Salihu Jamari, said the improvements recorded in the company’s performance were a testimony to the commitment by the management to deliver value to shareholders and stakeholders.
He expressed optimism that the completion of gas infrastructure projects such as Phase 2 of the Escravos-Lagos Pipeline System (ELPS 2C), Obiafu-Obrikom-Oben (OB3) Pipelines and the Ajaokuta-Kaduna-Kano (AKK) Pipeline would further boost the company’s profitability.