The Minister of Petroleum Resources, Dr Rilwanu Lukman, who disclosed this yesterday, said the company would be limited liability and have exclusive right to perform the duties of an aggregator as outlined in the Nigerian Gas Master Plan, for an initial period of five years.
“The company will be subject to strict regulatory oversight by the proposed Mid-Stream Regulator anticipated in the Petroleum Industry Bill (PIB),” the minister said
He, however, said pending the establishment of such regulator, the office of the Minister of Petroleum Resources will continue to carry out all necessary oversight roles in respect of the company.
According to him, the primary roles of the Strategic Aggregator (SA) Company will among other things include, acting as the focal point of contact for would-be purchasers and suppliers of gas, carrying out due diligence on the potential gas buyers and facilitate the execution of Gas Supply Purchase Agreements (GSPAs) for successful investors in a timely manner and managing the receipt of payments and the disbursement of an aggregate gas price to suppliers according to the agreed aggregation principles and facilitating the execution of necessary payment securities in respect of default in gas payment.
The Minister stressed the importance of the company to the successful delivery of the nation’s domestic gas agenda.
According to him, the NNPC, given its role as the most dominant gas supplier will coordinate with the joint venture partners and other relevant stakeholders to formalize the proposed company.