Business & Economy
Breaking: NLNG, stakeholders reveal how they plan to boost Nigeria’s gas supply
The Nigerian Liquefied Natural Gas Company, NLNG, says it plans to boost Nigeria’s gas production by looking at the supply side, and later the infrastructure, and also the commercial or economic framework needed to address the construction of gas pipelines, through the ongoing NLNG Train 7 project. This is in addition, to the gas to power initiative that would drive industrial growth in the country.
This was disclosed by Mr. Phillip Mshelbila, Chief Executive Officer, Nigeria LNG Ltd at the 2022 Nigerian Oil and Gas (NOG) conference in Abuja, during a panel session themed “Harnessing the Opportunities in the Nigerian Gas Sector”.
Meanwhile, other stakeholders, including, Mr. Roger Brown, the Chief Executive Officer, Seplat Energy Plc, says issues faced by industry players includes currency convertibility to enable the importation of equipment in dollars, having mainly a Naira revenue stream.
What they said:
The NLNG chief said, there was need for a collaborative and comprehensive solution to the issue which was already captured in the Decade of Gas Plan of the Federal Government.
He stated, “What many people may not be aware of is that we actually have the plan captured in the decade of gas framework.
“It’s an excellent piece of work. It has looked at the demand side of natural gas in Nigeria, domestic and export.
He added that the gas plan of Nigeria has “looked at the supply side, then looked at infrastructure, and then it has looked at the commercial or economic framework that is needed to address all of this. And it has outlined very specific things that need to be done to address it”. The plan includes, the ongoing NLNG Train 7 project as well as gas to power initiative that would drive industrial growth in the country.
Seplat boss, Mr Roger Brown, said “there’s a wall of money ready to come into this country; but they look at barriers to it and one of the biggest barrier is the currency.
“So, currency convertibility you know, bringing equipment in dollars, and then having a mainly Naira revenue stream.
“These things are fixable. We need to get those right there in any amount of big projects and really exciting projects. And what I like about the economics here in Nigeria is that they are unbelievably good.”
On boosting supply, he hinted that $700 million ANOH Gas Processing Company being constructed by Seplat and the NNPC at Asaa, Ohaji/Egbema, in Imo State was near completion.
He stated that when completed, it would provide gas to boost the much-needed supply of power to millions of homes and businesses across Nigeria to facilitate better standard of living and drive economic growth.
