FAQ
Opening Purview
At eXgas, we specialize in providing innovative solutions for monetising natural gas resources at the early stages of exploration and production. Operating in Nigeria, one of the world’s largest producers of natural gas, we empower our partners, customers, and stakeholders by unlocking the value of gas that would otherwise go untapped.
Our business model is focused on providing efficient and sustainable monetisation options for oil and gas producers, state governments, and local communities. Together with our technical partner, KAVIN Engineering Services, we offer vast experience in FEED engineering, gas projects, gas infrastructure development, and gas to market access; and create opportunities for stakeholders in the natural gas value chain to maximise value while contributing to the broader economic development of Nigeria.
Questions & Answers
Here are answers to the most common questions potential customers, employees, CNG offtakers, financiers, feedstock gas suppliers, regulators, and anyone interested in our gas monetisation services may have:
What is gas monetisation?
Gas monetisation is the process of converting natural gas into a valuable product, such as electricity, LNG, CNG, or petrochemical feedstock, that can be sold or used commercially.
Why is gas monetisation important in Nigeria?
Nigeria has abundant natural gas reserves, yet much of it is flared or remains untapped. Monetising this resource helps drive economic growth, reduce environmental impact, and provide energy security.
How does early-stage gas monetisation differ from traditional gas projects?
Early-stage gas monetisation focuses on leveraging gas resources even before full-scale production facilities are built, enabling faster returns on investment and reducing gas flaring.
What type of customers can benefit from your services?
Our services are designed for upstream oil and gas companies, commercial and industrial users of energy, as well as regulators and financiers looking to invest in the natural gas sector.
What is CNG, and how does it help customers?
CNG stands for Compressed Natural Gas, a cost-effective and environmentally friendly alternative to gasoline and diesel. It can be used in transportation, power generation, and industrial applications.
How do I become a feedstock gas supplier?
As a gas supplier, you will need to partner with us by offering natural gas produced from your fields for monetisation, ensuring it meets our quality and quantity specifications.
What are the regulatory requirements for gas monetisation in Nigeria?
Our team will assist in ensuring that your project adheres to the regulations set by the Nigerian government, including the MMDPRA Nigerian Midstream & Downstream Regulatory Authority, the Nigerian National Petroleum Corporation Plc (NNPC Plc), and environmental laws.
How does your company work with financiers?
Together with our financial partners, we can source structured project financing solutions for gas monetisation projects, from early-stage development to full-scale operations, providing detailed risk assessments, financial models, and ROI projections.
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What role do off-takers play in the process?
CNG off-takers are key customers who purchase gas for use in heavy goods vehicles (HGV), power plants, and industrial settings. We assist in ensuring that off-takers have reliable, cost-effective access to gas.
Can you help with gas infrastructure development?
Yes, we provide end-to-end solutions, including the design, construction, and maintenance of virtual gas transportation, processing, and distribution infrastructure.
What types of gas monetisation projects do you handle?
We handle various projects, including CNG facilities, LNG liquefaction plants, power plants, and gas-to-liquids (GTL)
What is the environmental impact of your services?
Our services reduce gas flaring, minimize carbon emissions, and provide cleaner energy alternatives, contributing to a more sustainable future.
How long does a gas monetisation project take to become operational?
Project timelines depend on the scale and complexity, but early-stage monetisation projects can often be operational within 12 to 18 months.
Can smaller gas producers participate in your projects?
Yes, we collaborate with both large and small producers to monetise gas resources effectively, ensuring scalable solutions for all involved.
How do you ensure the reliability of gas supply?
We maintain robust relationships with gas producers, monitor production quality, and have contingency measures to guarantee reliable supply to our customers.
What financial returns can I expect from gas monetisation?
Returns depend on the size of the project and the efficiency of the monetisation process. Typically, early-stage projects can offer industry standard returns in the medium to long term.
What is the role of the Nigerian government in gas monetisation?
The government plays a key role in regulating the gas sector, providing licenses, and ensuring compliance with safety and environmental standards.
What does it cost to set up a gas monetisation project?
Costs vary based on the scope of the project, but we provide detailed cost assessments and financing options to make the process as efficient and affordable as possible.
Are there financing options available for small companies?
Yes, together with our financial partners we can provide flexible financing options, including partnerships with financial institutions, government grants, and equity investments.
How does gas monetisation impact local communities?
It creates jobs, improves local infrastructure, and provides access to cleaner energy sources, thereby enhancing local economic growth.
What are the safety standards for gas monetisation projects?
Safety is paramount, and we adhere to international and local safety standards to ensure that all operations are carried out in a safe, controlled manner.
How do you manage the risks associated with gas monetisation?
Our team employs advanced risk management strategies, including financial hedging, diversified partnerships, and thorough environmental impact assessments.
Can I partner with your company on a joint venture basis?
We welcome joint ventures with companies that share our commitment to innovation, efficiency, and sustainability in gas monetisation.
What happens if a project faces delays?
Our experienced project management team works diligently to resolve delays and maintain project timelines. We also ensure that stakeholders are kept informed of any changes.
How can I contact your team for further inquiries?
You can reach out to us via our contact page, phone number, or email. Our customer service team is available to answer any questions and provide additional information.
If you’re ready to take the next step in gas monetisation, whether you’re a customer, supplier, or investor, we are here to help. Reach out to us today to discuss how we can work together to unlock the value of Nigeria’s natural gas resources.