Nigeria's NNPC and partners to build 5 mini-LNG for local gas usage

A company spokesperson announced late Thursday that the state-owned Nigerian National Petroleum Company has started construction on five mini-liquefied gas plants (LNG). This is part of government initiatives to boost economic growth and gas consumption.

Nigeria, Africa's leading energy producer, has the continent's largest reserves of gas, with more than 200 trillion cubic foot. It aims to develop this commodity in order to boost supply to industries, power stations, and exports and to stop routine flaring by the year 2030.

NNPC spokesperson Olufemi Soneye stated that the plants with a combined planned capacity of 97 millions standard cubic feet per daily aim to increase domestic gas access, help off-grid industry, and reduce carbon emissions.

NNPC has stakes in 3 of the plants, along with Gasnexus & BUA Group Ltd. These will be located at Ajaokuta in central Nigeria. Soneye stated that private firms Highland LNG, LNG Arete and LNG Arete would develop the two remaining plants.

Mele Kyari, NNPC's chief executive officer, said that the new facilities would help transport gas over long distances efficiently to homes, businesses, and industries.

In recent years, Nigeria has prioritized gas development and usage to stimulate the economy amid falling oil revenues. These projects are part of a larger shift in leveraging gas to ensure grid stability and access to export markets.

(source: Reuters)