28 Firms Approved For Gas Flaring In Nigeria’s $2 Billion Battle Against Wasted Energy And Pollution

Nigeria has taken a major step toward ending decades of routine gas flaring by approving permits for 28 companies under the Nigerian Gas Flare Commercialisation Programme (NGFCP), a move expected to attract up to $2 billion in fresh investment into the nation’s gas sector.....KINDLY READ THE FULL STORY HERE▶

Issued by the Nigerian Upstream Petroleum Regulatory Commission (NUPRC), the permits grant the companies legal access to flare gas—historically burned off at oilfields—turning a source of wasted revenue and environmental damage into a commercial opportunity. The milestone marks a shift from policy intent to tangible action in Nigeria’s longstanding fight against gas flaring.

At the permit issuance ceremony, NUPRC’s Chief Executive, Engr. Gbenga Komolafe, described the development as a “strategic inflection point” for the upstream petroleum industry. He noted that the programme replaces years of operational bottlenecks with a commercial framework designed to convert flare gas into usable energy while enforcing stricter environmental standards.

“When the NGFCP was relaunched in September 2022, the goal was clear: turn flare gas—a longstanding environmental and economic liability—into a commercial asset capable of powering industries, generating jobs, improving ESG compliance, and reducing Nigeria’s carbon footprint,” Komolafe said.

Despite repeated pledges, Nigeria remains one of the world’s largest gas-flaring nations. Industry data indicate that hundreds of millions of standard cubic feet of gas are still flared daily, even as local industries contend with energy shortages.

Under this phase of the programme, between 250 and 300 million standard cubic feet of gas per day are targeted for capture and commercial utilization. Komolafe emphasized that this could reduce carbon emissions by roughly six million tonnes annually, a significant step as Nigeria seeks to balance oil production with climate commitments.

The initiative also aligns with the Federal Government’s Energy Transition Plan, which aims to cut emissions while ensuring energy security and economic stability.

The path to securing permits was highly competitive. Of 300 Expressions of Interest submitted by investors, 139 firms qualified for the Request for Proposal stage. Following technical and commercial evaluations, 42 bidders emerged, securing 49 flare sites across the country.

Ultimately, 28 companies met all commercial requirements—including milestone development agreements and gas sales contracts—earning final permit issuance.

Komolafe praised the firms for demonstrating the financial strength and technical expertise required to operate in this challenging segment of the gas market, noting that their performance during the “demanding and rigorous competitive process” showed their serious commitment.