Nigeria & the U.S.: Tale of Two Energy Economies

When last we visited the topic of Nigerian energy markets and happenings, the reason that Nigeria simultaneously is energy-rich and energy-poor was illustrated by the ongoing tug of war between the Nigerian government and Process and Industrial Developments Limited (P&ID). This was over a prior agreement for P&ID to build a state-of-the-art natural gas processing plant along the Nigerian coast. In a nutshell: The government was supposed to provide the land and build the pipeline to deliver the gas to the plant. It failed to do either. As a result, over 282 billion cubic feet of gas were wasted (flared) in 2018 alone. And the agreement was for 20 years, with the planned delivery of wet gas to the plant beginning at 150 million cubic feet per day, rising to 400 million over time.