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Gas flare: FG extends bid submission date for commercialization programme

 By Yange Ikyaa 

The federal government of Nigeria on Wednesday announced an extension to the earlier date slated to close bid submission to participate in the nation’s gas flare commercialization programme. 

This is according to Justice Derefaka, Programme Manager, Nigerian Gas Flare Commercialization Programme (NGFCP).

The NGFCP is domiciled in the office of the Minister of State for Petroleum Resources, Ibe Kachikwu.  

In a document sent to Valuechain, Derefaka said “I write further to my previous e-mail on subject and the “Flare Gas (Prevention of Waste and Pollution) Regulations 2018” which provides a legal framework for the implementation of the Nigerian Gas Flare Commercialization Programme [NGFCP] to provide you with an update on the Programme. Please, note that the submission date for the NGFCP Statement of Qualification (SOQ) has been extended to Thursday, 28th February, 2019 as opposed to the initial submission date of Sunday, 20th January, 2019.”

He also affirmed that each Applicant is required to complete and submit a SOQ and pay the SOQ submission fee by 17:00 hours West Africa time on or before the SOQ submission deadline of Thursday, 28th February, 2019 in order to qualify for consideration as a Qualified Applicant (QA) and NOT a day after. Each Applicant is responsible for preparing and delivering its SOQ in the required format.

The announced first bid round for the flare gas inviting parties interested in participating in the NGFCP to register and apply for the issuance of the Request for Qualification (RfQ)] package which will lead to the submission of statements of qualification (SOQs) by interested parties for participation in the programme.

The auction, Derefaka said, presents a significant opportunity for domestic and international developers alike to participate in the largest market driven flare gas monetization program undertaken on this scale globally. 

Bidders will have flexibility of choosing which flare site(s) to bid for, determine the gas price, and their end – use market or gas product, as well as the technology to be deployed. Interested partieswill need to demonstrate project development experience and proposedproven technology which are all expected to be in their commercial applications. 

Additionally, parties will need to demonstrate technical and commercial capacity, after which successful bidders will be granted titles to flare gas sites through gas sale/supply agreements with the federal government of Nigeria.

An interested party (applicant) is not required to be a Nigerian entity in order to submit its SOQ. However, following a successful bid, each Preferred Bidder will be required to act through or establish a Nigerian corporate entity, which will enter into the necessary Commercial Agreements.

Applicants may come from a variety of backgrounds including but not limited to:

  • Communities
  • Technology providers
  • project developers
  • resource and energy companies
  • industrial companies
  • infrastructure companies
  • financial investors/lenders

It has been predetermined that ONLY registered parties on the Programme’s web portal,, can participate in the NGFCP bidding process.
“It is also important to note that the interface by those interested in the Programme with the NGFCP will be through the portal ONLY.

“ALL registered parties are hereby notified to download the Request for Qualifications (RfQ), to submit their statements of qualification (SOQs) for participation in the programme from our website.Parties will only have access to relevant programme documents from the NGFCP Portal using their Log on details.”