Nigeria's Gas Sector: 38% Output Lost to Flaring

Nigeria's gas sector is grappling with significant challenges as field use and flaring account for 38% of the country's total gas output, according to the Nigerian Upstream Petroleum Regulatory Commission (NUPRC). The country produces an average of 7.45 billion standard cubic feet per day (Bscf/d) of gas, with associated gas contributing 4.05 Bscf/d, representing 54% of total output.

Non-associated gas contributes 3.41 Bscf/d. Despite a strong export demand, domestic gas utilization remains constrained, with only 30% of total output being used locally.

The inefficiencies in upstream operations limit the optimization of gas handling systems, and flaring represents a significant loss, averaging 8% of total production annually. The report highlights that Nigeria's gas power segment continues to face supply shortages, impacting electricity generation.

Export volumes stand at an annual average of 33% of total gas production, reinforcing the dominance of exports over local consumption. The data underscores the critical need for improvements in gas infrastructure and operational efficiency.