By Olawale Abdul-Fatah
Nigerian Gas Company (NGC), has declared N13.29 billion as profit representing 117 percent increase compared to last year’s revenue.
NGC, a subsidiary of the Nigerian National Petroleum Corporation (NNPC), also disclosed that plans have been concluded to expand it frontiers by diversifying into gas processing services.
Chairman of the company’s Board of Directors and NNPC Chief Operating Officer (COO), Upstream, Roland Ewubare, disclosed these yesterday at the 24th Annual General Meeting (AGM) of the Company which held yesterday at the NNPC Towers, Abuja.
Ewubare, in a statement signed by the corporation’s Acting Group General Manager, Group Public Affairs, Samson Makoji, stressed that the profit realized in 2018 indicate a trajectory growth for the second consecutive year.
The chairman stated that the growth became easy after the Corporation decided to unbundle it businesses which made NGC streamlined to gas transportation.
“The profit after tax for the year ended 31st December, 2018, increased from N6.11bn in 2017 to N13.29bn representing an increase of 117%”, he declared.
He attributed the increase in the company’s revenue and profit to rise in the volume of gas transported, cost reduction initiatives, effective pipeline operations and maintenance, and cordial relations with host communities.
Ewubare noted that the expansion of NGC services into gas processing would assist in boosting revenue.
Earlier, AGM, 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.