The Nigerian National Petroleum Company (NNPC) has disclosed that Nigeria’s liquefied natural gas (LNG) is attracting more buyers as demand for cargos continue to rise.
Executive Vice President, Olalekan Ogunleye, said this on Wednesday at the CERAWeek energy conference in Houston.
According to a report by Reuters, Ogunleye said buyers are increasingly looking to Nigeria because of its proximity to key consuming nations and the scale of its gas reserves.
He said demand for natural gas has proven resilient and expressed optimism that current geopolitical tensions would not derail its growth.
“We are right in the middle of the market. We are 10 sailing days from Europe, close to the Atlantic Basin and close to Asia. We see commercial opportunities on top of the fact that we have the most gas reserves in Africa,”Ogunleye said.
The Executive Vice President also said the NNPC has started talks on adding two new LNG trains, adding that the company is also pursuing a 12 million metric tons per annum (mtpa) LNG project, alongside gas-based industrial hubs, to tap more than 200 trillion cubic feet of reserves in Nigeria.
Nigeria LNG (NLNG), in which the NNPC is the largest shareholder, can export up to 22 million metric tons per year and is building a seventh production train scheduled for completion in 2027.
Martin Houston, a longtime LNG developer and consultant, said the U.S.-Israeli war on Iran has heightened the need for buyers to diversify supply risk.
He said African and South American countries with gas already discovered but without a current market could benefit from rising interest in new LNG supply, including floating LNG options.
