DPR Guidelines For Companies To Operate In Nigeria

Having discovered from recent investigations that some facilities operate without a licence, the Department of Petroleum Resources, DPR, has issued guidelines for companies looking to establish or operate downstream gas facilities across the country.

The DPR now requires companies to obtain three approvals and licences, among others, before establishing and commencing gas-dispensing operations. This will lower the chance of illegal operations that lead to accidents and fire hazards in establishments.

• Zenith Energy Bids On Marginal Field 2020 In Nigeria
• Interest In Marginal Oil Fields High As DPR Moves To Pre-qualification

DPR Guidelines For Companies

The gas explosion at Baruwa, Ipaja Lagos is one of the most recent accidents in the country. The establishments that the guidelines concern are:

• Liquefied Petroleum Gas, LPG, (cooking gas) refilling plants and retail outlets
• Autogas refuelling stations and add-on gas facility
• Gas storage and utilization facilities.

• Second Wave of Coronavirus Puts Pressure on Crude Oil Prices

The guidelines also contain specifics as it relates to minimum requirements, procedures and conditions. Approvals or licences for the construction, installation, modification, takeover, relocation and operations of downstream gas facilities in Nigeria will not be granted without fulfilment of these specifics.

Developing guidelines will enhance gas penetration and utilization according to Director of Petroleum Resources, Mr Sarki Auwalu. More so, it will heighten operational safety and provide ease to oil and gas businesses.

He said: “Companies intending to establish these facilities must satisfy all necessary requirements stipulated by DPR and obtain the under listed applicable approvals: Site suitability approval; Approval to Construct (ATC)/Approval to Install; and Licence to Operate”.

“Necessary amenities and equipment like functional automated/manual leak tester, functional fire alarm system, and mounted gas detectors, adequate fire water storage and sprinklers, perimeter fence with firewall amongst others must be provided in the facilities.”

The DPR set the guidelines with safety as the main objective. It wants to ensure that the baseline standard of Health, Safety and Environment, HSE, is achieved and maintained in all the facilities.

Follow us on Facebook and Twitter and send us stories on contact@africareinvented.com