Ace Gas and FLNG Ltd, a subsidiary of Ace Energy Group, a vertically integrated energy company, has announced the official commencement of the Front-End Engineering and Design (FEED) phase for its ground-breaking 3MTPA Floating Liquefied Natural Gas (FLNG) and 250MW Power Barge project.

The official FEED signing ceremony took place at Wison’s headquarters in Shanghai, China, recently, and was attended by two of Ace Energy Group’s Directors – Mr. Collins Oguike and Mr. Oluwafisayo Ishola, and Wison’s top executives led by Mr. Alex Yuan.

This marked a crucial milestone in advancing the monetization of Nigeria’s abundant gas resources, bolstering domestic energy security, and promoting sustainable economic growth for the country.

The company, in a press statement issued to The Nation yesterday, said the visit to Wison in Shanghai also allowed the Ace Team to visit Wison’s massive shipyards to gain an appreciation of execution capacity.

The FLNG and Power Barge are complimented by an expanded gas gathering network comprised of compression stations and gas delivery lines that will allow gas delivery to the FLNG from multiple gas assets for a radius of over 60KM.

Ace Gas and FLNG, in partnership with G&G Technologies, has already completed FEED design for self-propelled marine barges fuelled by Liquefied Petroleum Gas (LPG) with a capacity of 4000MT that will support regional and inland distribution of LPG and Liquefied Natural Gas (LNG).

This transformational integrated project strongly aligns with the policy direction of the Federal Government of Nigeria, the Nigerian Upstream Petroleum Regulatory Commission (NUPRC) and the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) as well as the Nigerian National Petroleum Company Limited (NNPCL) toward a gas-centric economy that will create alternate and cheaper energy commodities.

It will create market access for over 500 Million Standard Cubic Feet Per Day (MSCFd) of gas, allowing upstream operators around the Escravos area to monetize not just their Non Associated Gas (NAG) resources but also their flared gas.

It offers a sustainable and economic solution for methane abatement in alignment with Nigeria’s international commitments.

It also boldly announces Nigeria as a leader in floating gas solutions while securing additional market share of the global gas economy in a space brimming with significant competition.

The project also guarantees significant revenues for the Federal Government of Nigeria and all stakeholders.

The statement said building on the successful completion of the Pre-FEED phase in July (earlier this year), the commencements of the FEED is a significant achievement that takes the project one step closer to unlocking over 5TCF of offshore and swamp gas reserves over a 30 year window at a daily rate of 500MMSCFd.

With the unwavering support and oversight of the NMDPRA, the FEED phase will streamline the critical engineering, design, and planning processes, ensuring a robust foundation for full-scale project execution.

The FLNG facility, strategically located offshore in Escravos, will supply 3 MTPA of LNG to international markets, as well as provide 200,000 MT per year of LPG to largely domestic and regional African markets. 25,000 bopd of condensates, and 75,000 MT per year of propane will also be produced and will be exported through its partner international traders.

In addition, the integrated 230MW Power Barge will deliver consistent and reliable power to the company’s compression stations that are running on the e-drive concepts to minimize emissions. Surplus power from the power barge will be exported to the local grid to support strategic local energy hubs and boost productivity.

Altogether, the project is poised to create more than 1,000 direct jobs and an estimated 5,000 indirect positions, reinforcing local capacity building, technology transfer, workforce development, and enduring socio-economic benefits.

Group CEO of Ace Gas and FLNG Limited, Engr. Christopher Nwokolo, remarked: “The official launch of the FEED phase represents a transformative moment for Nigeria’s energy landscape.

“By harnessing our abundant gas resources and working in close collaboration with Wison New Energies, NMDPRA, and our distinguished partners, we are moving closer to delivering clean, reliable, and sustainable energy solutions.

“We are immensely grateful for the support we have received from all stakeholders, including the government and regulatory authorities, as we strive to realize our vision of long-term energy security and economic prosperity.”