The Nigeria National Petroleum Corporation (NNPC) Limited says it has began exports of Liquefied Natural Gas (LNG) to the Asian markets of China and Japan.
This was made known by the spokesperson, Olufemi Soneye, in a statement on Monday.
According to him, the shipment of the cargo to both Asian countries was conducted on a Delivered Ex-Ship (DES) basis.
A delivered Ex-Ship (DES) is an international commercial term that requires the seller to deliver the products/goods at a specific port.
The seller takes responsibility for the shipping and insurance for the products/goods until they get to the specified port of delivery.
He said NNPC Ltd. achieved the milestone through the collaboration of two of its Downstream subsidiaries – NNPC LNG Ltd. And NNPC Shipping Ltd. – which delivered its first DES LNG cargo from the 174,000m³ LNG vessel, Grazyna Gesicka at Futtsu, Japan, on 27th June 2024.
“Since then, it has expanded its footprint to China with the delivery of one LNG cargo on a DES basis,” he said.
Soneye said NNPC has been involved in LNG trading since 2021 with its first LNG cargo sale in November of that year, and has since traded over 20 cargoes into the European and Asian markets on FOB basis.
Speaking on the development, the Executive Vice President, of Downstream, Dapo Segun, said the DES system, apart from being more financially rewarding, allows NNPC Ltd. inroads into the downstream segment of the LNG sector and positions it to capture more market shares while building in-house capacity and ensuring that global customers are familiar with the NNPC Ltd. Brand.
On his part, the Managing Director of NNPC Shipping, Panos Gliatis, said the collaboration between NNPC LNG Ltd. And NNPC Shipping Ltd. in executing the LNG supplies on a DES basis has strengthened the latter’s position as a world-class shipping provider in the LNG sector.
