NLNG signs agreement to supply Liquefied Natural Gas to local market
The Nigerian Liquefied Natural Gas (NLNG) as part of its gas utilization plan has signed a gas supply agreement with three power companies setting off the distribution of liquefied natural gas to the local market.
The Sales and Purchase Agreement is to deliver 1.1 million tonnes of Liquefied Natural Gas, LNG annually to the domestic market.
Speaking during the signing ceremony in Abuja, the Managing Director, NLNG, Tony Attah, also announced that the gas company had generated over $110bn in revenues to the Federal Government since it started operation in 1999.
He said: “It is my pleasure to announce that our commitment to unlocking gas utilisation is now backed by the execution of Sales and Purchase Agreements to supply 1.1 million tonnes per annum of LNG on DES basis to Asiko Power Limited, Bridport Energy Limited and Gas-Plus Synergy Limited.”
The NLNG boss added: “The SPAs will facilitate the project execution and development of infrastructure led by off-takers to aid LNG delivery into the domestic market.”
According to him, the execution of these SPAs follows a Domestic LNG (DLNG) Workshop held in November 2019 to stress test the delivery model with industry stakeholders and a series of engagements to identify suitable actors to co-create the initiative and stimulate market interest for potential off-takers.
He expressed optimism that with the support of government and other stakeholders in harnessing the vast gas reserves of the country, Nigeria will certainly be a major player in the industry pledging his determination to take the gas sector to the next level.
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