NNPCL signs gas deals for both local and foreign markets.

On Wednesday, the Nigerian National Petroleum Company Limited declared that it has inked two significant contracts to provide liquefied natural gas to both the local and foreign LNG markets.

It stated that the agreements were inked at two different signing events that took place outside of the current UN Climate Change Conference.

In a statement released in Abuja, the business stated that it has inked a Memorandum of Understanding (MoU) with the Chinese company Wison Heavy Industry Co. Ltd. for the development of floating LNG projects in Nigeria with an eye toward the global LNG market.

Additionally, SDP Services, an independent oil and gas business, and NNPC Prime LNG Ltd., an affiliate of NNPC Trading Ltd., inked a Supply, Installation and Commissioning Agreement for a 421 tons per day LNG project intended for the domestic LNG market.

“On behalf of NNPC Ltd., Mr. Olalekan Ogunleye, Executive Vice President, Gas, Power & New Energy, and Mr. Kai Xu, Managing Director of Wison Ltd., signed the Floating LNG Memorandum of Understanding.”

The national oil company said in a statement that “both parties agreed to work together to chart a roadmap for the project development that will lead to an investment decision.”

It further said that Mr. Abhinav Modi, the managing director of SDP Services Ltd., signed the agreement for his firm, while Mr. Lawal Sade, the managing director of NNPC Trading Ltd., signed on behalf of NNPC Prime LNG Ltd.

“The SSLNG Project will guarantee the effective supply of LNG to the autogas/compressed natural gas and industrial/commercial customers nationwide. It will be located in Ajaokuta in Kogi State, Central Nigeria.” By December 2024, the LNG project is anticipated to be operational. NNPC declared.

Shortly after the signing ceremony, Mr. Olalekan Ogunleye, EVP of Gas, Power & New Energy, stated that NNPC Ltd. was dedicated to providing gas to companies across the country and increasing the company’s efforts to commercialize gas through the floating LNG Project.

Since these projects are essential to the commercialization of Nigeria’s huge gas resources and ensuring that our nation receives the much-needed foreign money from its substantial gas assets, we believe they will have a significant influence on the whole nation. Additionally, it aligns with the NNPC management’s commitment to fulfilling the President’s national gas and power ambitions, according to Ogunleye.