NLNG signs agreement to supply local market 1.1mmt of Liquefied Natural Gas
The Nigerian LNG has signed a gas supply agreement with three power companies setting off the distribution of liquefied natural gas to the local market.
Tony Attah, NLNG CEO/MD announced this at a press conference during the Nigerian International Petroleum Summit on Tuesday.
Three companies who signed the agreement with the NLNG are Asiko Power Ltd, Brockport Energy Ltd, and Gas Plus Synergy Ltd
Under the agreement, the NLNG will supply about 1.1 million metric tonnes of LNG on a Delivered Ex Ship basis. This is a trade term that requires a seller to deliver goods to a buyer at an agreed port of arrival.
The NLNG said the agreement will commence immediately and that this is only the first phase.
Attah said that upon the success of this agreement, he will seek the approval of the board for a second contract.
The NNPC urged the off-takers not to take the gas outside the country to sell abroad.
More details to follow shortly.