Nigeria Secures Massive 1.3 Billion Gas Supply Deal to Transform Energy Sector
In a groundbreaking development for Nigeria’s energy landscape, the Nigerian National Petroleum Company Limited (NNPC Ltd.) and Nigerian Liquefied Natural Gas (NLNG) have signed long-term Gas Supply Agreements worth 1.3 billion standard cubic feet per day with multiple joint venture partners. The historic agreements were finalized Friday at NNPC Towers in Abuja, involving major players including Shell Nigeria, TotalEnergies, Sunlink Energies, and Amni International Petroleum Development Company.
Dr Philip Mshelbila, Managing Director and CEO of NLNG, described the development as a strategic game-changer that will deliver an estimated 1,290 million standard cubic feet per day to NLNG’s Bonny Plant. “These new agreements represent a significant boost to feedgas availability, enhancing NLNG’s capacity to meet its commercial commitments while laying the groundwork for expansion,” Mshelbila stated.
The landmark deal addresses long-standing gas supply constraints that have impacted NLNG’s operations due to pipeline disruptions, vandalism, and sabotage affecting upstream gas availability. With recent divestment of onshore assets by International Oil Companies to non-shareholder entities, NLNG can now diversify its gas procurement from third-party suppliers.
NNPC Group CEO Bashir Ojulari praised the agreement as “a dream come true for Nigeria’s energy sector,” noting that it aligns with the Federal Government’s Decade of Gas initiative, which positions natural gas at the center of Nigeria’s industrialization and energy transition agenda.
Source: thenewsnigeria.com.ng
