G2L Nigeria. Flaring Gas Commercialization Project: Automated Gas Treatment

P R O J E C T P R O P O S A L

FLARING GAS COMMERCIALIZATION

PROJECT: AUTOMATED GAS TREATMENT

Project: FLARING GAS COMMERCIALIZATION PROJECT: AUTOMATED GAS TREATMENT

Table of Contents

1.	INTRODUCTION - G2L ENERGY SOLUTIONS .......................................................................	3
2.	FLARING GAS CHALLENGES ....................................................................................................	4
2.1.		GOVERNMENT POLICY ...........................................................................................................	5
3.	OUR SOLUTION ............................................................................................................................	5
3.1.		PROCESS SCHEMATIC DIAGRAM .......................................................................................	6
3.2.		MAJOR PROCESSES ...............................................................................................................	7
3.2.1.	GAS SEPERATION UNIT .....................................................................................................	8
3.2.2.	POWER GENERATION UNIT ..............................................................................................	8
3.2.3. GAS CONDENSATE CONVERTION UNIT ........................................................................	8
3.2.4.	GAS SEPARATION UNIT .....................................................................................................	8
3.3. LIST OF MAIN PROCESS EQUIPMENT ...............................................................................	8
3.4.		PROCESS AUTOMATION SYSTEM .....................................................................................	10
3.5. CONTROLS AND INSTRUMENTATION SYSTEMS ...........................................................	13
3.6.		FACILITY ....................................................................................................................................	16
3.7. MAINTENANCE PLANNING AND CONTROL......................................................................	17
3.7.1.	PROACTIVE APPROACH....................................................................................................	17
3.7.2.	REACTIVE APPROACH.......................................................................................................	18
3.7.3.	SPARES..................................................................................................................................	19
4.	ENVIRONMENTAL BENEFITS ...................................................................................................	22
5.	PROJECT SCHEDULE ................................................................................................................	23
6.	COST BENEFIT ANALYSIS ........................................................................................................	24

Project: FLARING GAS COMMERCIALIZATION PROJECT: AUTOMATED GAS TREATMENT

1. INTRODUCTION - G2L ENERGY SOLUTIONS

G2L Energy Solutions is a Joint Venture between RUSSELSMITH NIGERIA LIMITED a leading Integrated Energy Services Company and PUBLIC JOINT STOCK COMPANY "GTL" (PJSC "GTL") an Innovative company having serval patents advanced technologies to producealcohols, alkanes, gasoline, diesel fuel, hydrogen, mineral fertilizers, and other chemical compounds in a profitable way.

The main mission of this Joint Venture is to provide and install latest technology driven GTL plants and Gas Turbine Power plants under Nigerian Oil and Gas sector. The major objectives looking for to achieve are,

• Reduction in Flare Gas and the Carbon Footprint of the country.
• Production of High-Quality Petroleum Products.
• Production of cost Effective and Environment friendly Electric Power.
• Development Community and Economy of the Country.

"Reference Patent"

Few of the patent reference are listed below,

• 2440189 - catalyst and method for producing high-octane gasolines with low content of benzene and durol
• 2181622 - plant for homogeneous oxidation of natural gas and method for homogeneous oxidation of natural gas
• 2199366 - reactor for homogeneous oxidation of natural gas
• 2426715 - method and plant for homogenous oxidation of methanic gas
• 2513917 - device and method for separating gas mixture
• 2416461 - packed vortex nozzle for heat and mass exchange columns
• 2487275 - method for compressing gas medium

These solutions will help the Oil & Gas facility Operators to minimize or eliminate the Government Penalties related to Flaring Gas and add more values to the Organization Environmental commitmentsand so the Nigerian Government towards Paris Carbon Emissions Treaty.

Project: FLARING GAS COMMERCIALIZATION PROJECT: AUTOMATED GAS TREATMENT

2. FLARING GAS CHALLENGES

The Nigerian National Petroleum Corporation (NNPC) recently disclosed that Nigeria's proven gas reserve has gone up (as at 2018) to 190 trillion cubic feet (TCF), with unproven gas reserves of about 600TCF. This data ranked Nigeria in 9th position globally and 1st position in Africa under the term of proven natural gas reserves. However, the 2nd African position holder, Algeria producing almost double than Nigeria.

As per Nigeria National Petroleum Corporation (NNPC) 2019 Annual Statistical Bulletin, Nigeria flared a total of 244.35 billion cubic Feet of gas in the year 2019 which is 8.53% of produced gas. By considering the exchange rate of N380 to a USD and the Domestic Supply Obligation (DSO) price of $1.50 per 1,000 Standard Cubic Feet (SCF) of gas, this results to a loss of N139.28 billion. As per the World Bank's Global Gas Flaring Reduction Partnership report, Nigeria is the 7th highest Gas flaring country in the world.

The gas flaring, practicing mainly for economic reasons as the other methods are costlier than the immediate elimination of the gas, which is less profitable and potentially hazardous byproduct of the industry. Gas flaring generates toxic pollutants such as sulfur dioxide into the atmosphere, which can lead to environmental problems such as acid rain, as well as the generation of greenhouse gases which contribute to global climate change.

When natural gas burning occurs, the effects raise potential environmental and health hazards. In addition to the noise and light, flaring emits black carbon, methane, and volatile organic compounds. Black carbon and methane are both powerful climate forcers and black carbon andVOCs are dangerous air pollutants.

Researchers says black carbon is second only to carbon dioxide in terms of its impact on global warming. It does this both by absorbing sunlight thereby warming the atmosphere and by landing on ice and snow and reducing its ability to reflect light. Additionally, black carbon is a component of fine particulate matter which has negative effects on human health and contributes to several critical deceases.

Project: FLARING GAS COMMERCIALIZATION PROJECT: AUTOMATED GAS TREATMENT

2.1. GOVERNMENT POLICY

By understanding that flared gas could be harnessed to stimulate economic growth, drive investments, and provide jobs in oil producing communities and indeed for Nigerians through the utilization of widely available innovative technologies, the Federal Executive Council (Nigeria's cabinet) has approved the Nigerian Gas Flare Commercialization Program ("NGFCP"). This program was launched by the Minister of State for Petroleum Resources

("Minister") on December 13, 2016.

The Federal Government of Nigeria (FGN) made the policy that, gas flaring is unacceptable and the FGN has initiated a number of actions to reaffirm its commitment to ending the practice of gas flaring in our oil fields. Specifically, the FGN has ratified the Paris Climate Change Agreement, and is a signatory to the Global Gas Flaring Partnership (GGFR) principles for global flare-out by 2030 whilst committing to a national flare-out target by year 2020.

The NGFCP is designed as the strategy to implement the policy objectives of the FGN for the elimination of gas flares with potentially enormous multiplier and development outcomes for Nigeria. The objective of the NGFCP is to eliminate gas flaring through technically and commercially sustainable gas utilization projects developed by competent third-party investors who will be invited to participate in a competitive and transparent process. The commercialization approach has been considered from legal, technical, economic, commercial, and developmental standpoints. It is a unique and historic opportunity to attract major investment in economically viable gas flare capture projects whilst permanently addressing a 60-year environmental problem in Nigeria.

3. OUR SOLUTION

Based on well-known scientific facts, but not using current processing methods, G2L Energy Solutions,proposing to provide alternative, highly profitable,and environmentally oriented methodfor synthesizing the necessary chemicalcompounds from natural and associatedpetroleum gas.

With the help of technology, both low and high pressure flared gases can be without conventional Heating and Cooling cyclic processes and apart from this the technology have the capability to handle any volume of gas; from Two to One Thousand Cubic Meters per Hour.

Project: FLARING GAS COMMERCIALIZATION PROJECT: AUTOMATED GAS TREATMENT