NLNG to deliver 100% of its LPG production into Nigeria

The Nigeria LNG Limited (NLNG) Board of Directors has approved the supply of 100 percent of the company’s Liquefied Petroleum Gas (LPG) production (Propane & Butane) to the Nigerian market.

The company says that it prioritises the domestic market for all Butane output, also known as cooking gas.

According to a release by the organisation: “These initiatives are designed to increase LPG availability in Nigeria, diversifying its uses and support the Federal Government’s Decade of the Gas initiative.

NLNG is an incorporated Joint Venture owned by four Shareholders, namely, the Federal Government of Nigeria, represented by Nigerian National Petroleum Corporation (49 percent), Shell Gas B.V. (25.6 percent), TotalEnergies Gaz & Electricite Holdings (15 percent), and Eni International N.A. N. V. S.àr.l (10.4 percent).

The company supplied its first Butane (LPG) cargo into the domestic market in 2007 and delivered its first Propane cargo into the domestic market in October 2021.

According to the release, “NNLG had supplied an estimated 400,000 metric tonnes of cooking gas in 2021.”

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Philip Mshelbila, the Managing Director and Chief Executive Officer of NLNG, said that the statement demonstrated the Company’s strong commitment to the sustained growth of the domestic LPG market, as well as its desire to boost utilization of one of the world’s most adaptable energy sources.

“Gas, as the cleanest of the fossil fuels, has become an essential energy source to be reckoned with during this energy transition period.

“Nigeria should not be left out in the drive to revolutionise their energy industry to cut down on carbon emissions as other countries are doing, considering its abundant gas resources,” he said.

In furtherance, Mshelbila highlighted the commitment of the NNLG to the decade of gas pledge by the federal government.

“We are steadfastly pursuing our promise to support the Federal Government’s Decade of Gas proclamation, which we made in March 2021 during the NLNG-sponsored pre-summit meeting of the Nigeria International Petroleum Summit (NIPS) 2021, hosted by the Federal Ministry of Petroleum Resources.

“Committing 100% of our LPG supply is a major milestone in our journey of domestic gas supply,” he said.