As a Gas Processing Plant Licensing consultant in Nigeria, we shared the business opportunities, requirements of obtaining Gas Processing Plant License, the stages and many more.

Feel free to contact us for Aziza Nigeria for compliances, permits and licensing to the design, construction, modification, installation, operations and maintenance of manned and unmanned upstream oil and gas production facilities, including FPSOs, production platforms, drilling/wellhead platforms, Early Production Facilities (EPF), Integrated facilities, Produced Gas Flare Elimination facilities, etc,

Background:

Gas Processing Plant / Facility designed to recover natural gas liquids from a stream of natural gas that may or may not have passed through lease separators and/or field separation facilities and purify the raw natural gas extracted. These facilities control the quality of the natural gas to be marketed.

Read: LPG Business Opportunities in Nigeria

The Nigerian Gas Flare Commercialization Programme (NGFCP) launched in 2016 and relaunched in 2022, aims to eliminate gas flaring by utilizing the flared gas for economic development through projects by third-party investors and The Petroleum Industry Act (PIA) 2021 that has a framework for gas flaring regulations and increases penalties for non-compliance have attracted investors to invest in the gas recovery. With huge market for gas in Nigerian and more opportunities like government policy on the Compressed Natural Gas (CNG) as alternative to fuel which the demand is far to be meet, the fact is there is a good ROI in Gas Processing business in Nigeria.

Key Stages in Gas Processing Plant License in Nigeria

OBTAIN CONCEPTUAL DESIGN APPROVAL

– Field Development Plan (FDP) approval
– Submission & Evaluation Reports
– Concept Management Review
– Etc

OBTAIN APPROVAL TO CONSTRUCT
– Permits, Consents & Approvals (FEED) and (DED)
– Issuance of Approvals
– Pre-Commissioning and Commissioning
– Etc

OBTAIN PERMIT TO OPERATE (PTO)

– Confirms all necessary performance and reliability tests after start-up / commissioning have been carried and that the outcome is satisfactory.

– Confirms all outstanding action items raised during the pre-start up activities have been closed out.

 

Read: Natural Gas Plant Design & Construction Requirements

 

Main Processes:

1. Removal of Large Particles: The initial step involves removing significant impurities like sand using scrubbers.
2. Oil, Condensate, and Water Removal: Gravity or centrifugation methods in separators are used to separate heavier liquids from the gas stream. Equipment like slug catchers helps manage large volumes of liquids.
3. Dehydration: Water is removed using dehydrators, often employing glycol as a liquid desiccant.
4. Removal of Acid Gases: Impurities like carbon dioxide (CO2​) and hydrogen sulfide (H2​S) are removed through processes such as amine absorption, cryogenic distillation, or membrane separation. Sulfur recovery units, like the Claus process, may be used to convert hydrogen sulfide into elemental sulfur.
5. Nitrogen Removal (if necessary): If the natural gas has a high nitrogen content, cryogenic distillation, absorption, or adsorption processes can be used for removal.
6. Natural Gas Liquids (NGLs) Recovery: Valuable hydrocarbons like ethane, propane, butane, and pentanes are separated using methods like lean oil absorption or cryogenic processing (cooling the gas to very low temperatures).
7. Fractionation of NGLs: The recovered NGLs are further separated into individual components (ethane, propane, butane, etc.) in fractionation towers.
8. Mercury and Other Contaminant Removal (if necessary): Activated carbon beds or molecular sieves can be used to remove trace amounts of mercury.
9. Compression, Storage, and Transportation: The processed gas is compressed for pipeline transportation.

 

Read: NUPRC (DPR) Permit & Requirements

 

Common Equipment in Gas Processing Plants:

• Separators: To separate gas, oil, condensate, and water.
• Slug Catchers: To handle large volumes of liquids in the gas stream.
• Scrubbers/Filters: To remove solid particles and impurities.
• Dehydrators: To remove water vapor (e.g., glycol dehydration units).
• Gas Sweetening Units (Amine Plants): To remove acid gases.
• Sulfur Recovery Units (e.g., Claus Plant): To convert hydrogen sulfide to elemental sulfur.
• Heat Exchangers: For cooling or heating gas streams.
• Compressors: To increase gas pressure for transportation.
• Pumps: For moving liquids within the plant.
• Storage Tanks: For storing separated liquids (condensate, NGLs).
• Fractionation Towers (Deethanizer, Depropanizer, Debutanizer): To separate NGL components.
• Cryogenic Units (Turboexpanders, Heat Exchangers): For low-temperature separation of NGLs and nitrogen removal.
• Valves, Piping, and Instrumentation: For controlling and monitoring the gas flow and processes.
• Meters and Gauges: To measure flow rates, pressure, and temperature.

The specific processes and equipment used in a gas processing plant depend on the composition of the raw natural gas and the desired specifications of the final products.

Natural Gas Plant Licensing

Upon mechanical completion of the natural gas plant, a pre-commissioning inspection of the facility shall be carried out by the Department of Petroleum Resources (DPR) prior to the issuance of operating license.

 

Read: NipeX Registration & Requirements

 

Natural Gas Plant Operation

a) The gas plant facility shall be operated in compliance with the provisions of the Petroleum Refining Regulations, 1974 and any regulations that may come in force.

b) The operator shall prepare and submit an annual program of activity in the form of a presentation to the Director of Petroleum Resources at the beginning of each calendar year.

 

MAINTENANCE

This comprises routine, preventive scheduled and turn-around maintenance.

a) The gas plant facilities shall be periodically examined for corrosion detection and corrosion protection systems and devices installed shall be regularly checked to ensure effective performance. All these anti-corrosion performance monitoring shall be carried out in accordance with current NACE (National Association of Corrosion Engineers) Standards and procedures.

b) All turn-around maintenance (TAM) schedules shall be duly submitted to the Director of Petroleum Resources at least three months prior to its commencement and thereafter, monthly progress report of the maintenance shall be rendered until completion for monitoring purposes only.

 

PLANT MODIFICATION

Any proposed modification or enlargement of existing gas plant and facilities shall be communicated to the Department and must be approved in accordance with the provisions of Regulation 3 of the Petroleum Refining Regulations, 1974 and its subsequent revisions before being carried out.

 

Read: Local Content (NOGIC JQS) and NCEC Registration

 

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