Nigeria, US Agree on New Gas Production Deal

A new agreement that would see increased production of gas for export and local consumption has been reached between Nigeria and the United States Government, reported the Punch newspaper Friday.

This is contained in a statement from the United States Embassy in Abuja on Thursday, noting that the agreement focused on production and delivery of natural gas with the US government providing the technical assistance.

According to the statement the US government funded technical experts will collaborate with the Nigerian federal government to find practical market-based approaches to work with the private sector to reduce the level of flared gas and further develop the gas sector.

It said the effort is in line with the US government policy goals of supporting economic growth and investment in people, adding that the energy technical assistance was outlined in a US government's master plan.

The technical assistance will be provided by the United States Agency for International Development through the newly-launched US Presidential initiative called the African Infrastructure Programme for sub-Saharan Africa.

It said the cooperation would take off this October in conjunction with the World Bank, the United Kingdom's Department for International Development and the Nigeria's Ministry of Gas and the Nigerian National Petrioleum Corporation.

The US Ambassador to Nigeria Robin Sanders and Nigeria's Minister of State for Gas Emmanuel Odusina endorsed the agreement on behalf of their respective governments.