Nigerian president to inaugurate five mini LNG projects

Nigerian President Bola Tinubu will inaugurate the construction of five mini liquefied natural gas (LNG) projects in Ajaokuta on January 30, TheCable has reported. 

This initiative, described as unprecedented by a Nigerian National Petroleum Company Ltd (NNPCL), represents a significant effort to enhance the country’s gas infrastructure.

The NNPCL is overseeing the projects, which include Highland LNG, LNG Arete, NNPC Prime LNG, NGML/Gasnexus LNG, and BUA LNG. These facilities are designed to deliver cost-effective and sustainable energy solutions to industrial and commercial users nationwide, in line with the federal government’s gas policy to transition towards cleaner and more accessible energy sources.

These gas projects are part of the NNPCL’s plan to partner with the private sector to boost access to power, The Cable writes. For example, the NNPC Prime LNG project, which will be constructed on a 33-hectare site in Ajaokuta, is a joint venture between NNPC Trading and Silver Peaks. Additionally, NGML/Gasnexus LNG will deliver a phased 20MMSCFD Mini-LNG plant, while the BUA LNG project will cater specifically to the cement industry, with the supply transported to BUA’s Sokoto Cement plant.

Highland LNG aims to serve customers not connected to the national pipeline network, offering off-grid power generation and contributing to the Presidential Compressed Natural Gas Initiative. LNG Arete, a fully Nigerian-owned venture, will enhance energy security and affordability.

This initiative is part of Nigeria’s broader strategy to maximise its gas resources. By integrating floating LNG projects and expanding compressed natural gas (CNG) infrastructure, the NNPCL is promoting cleaner energy alternatives. Plans to establish 100 CNG stations across the country will complement these LNG projects, reducing transportation and energy costs.