NLNG Records $110bn Revenue
The Nigerian Liquidfied Natural Gas (NLNG) yesterday said its revenue generation since 1999 has exceeded $110 billion.
Its Managing Director, Mr. Tony Attah made this known at the press conference in Abuja, where he announced the firm’s Sales and Purchase Agreements (SPAs) with offtakers for the supply of domestic LNG.
The press statement that made the disclosure said: “At the home front, we are distinguished as a development partner with Nigeria’s Government, with our six-train plant generating more than US$110 billion in revenue since it began operation in 1999”.
Nigeria LNG, according to him, has paid about $18 billion as dividends to the Federal Government of Nigeria, through the state-owned Nigerian National Petroleum Corporation (NNPC) 49 per cent shareholding and equivalent amount as dividend to the other three shareholders in the same time period.
He added that the company has also paid about US$15 billion for feed gas purchases to the Federal Government of Nigeria through its shareholding in NNPC and about USD9 billion in taxes.
Attah said besides, the Domestic LNG Scheme, the company has the ongoing Train 7 project with capacity to attract about $10bn in foreign direct investment.
Continuing, he noted that “We are also looking to expand the LPG value chain by increasing our supply to the domestic market, guaranteeing LPG supply and enhancing its affordability, and enabling the development of a value network for a sustainable ecosystem”.
Attah further noted that Nigeria LNG remains a major influencer in the domestic LPG sector.
He revealed that presently, “we have dedicated 450ktpa of LPG to the market and our focus is to support the use of cleaner energy to protect our citizens and the environment from the hazards posed by other cooking fuels by encouraging the use of cooking gas in Nigeria”.
On the agreement, he said “it is my pleasure, to welcome you and announce that our commitment, as a corporate entity, to unlocking gas utilization is now backed by the execution of Sales and Purchase Agreements (SPAs) to supply 1.1 Million Tonnes Per Annum (MTPA) of LNG on DES basis to Asiko Power Limited, Bridport Energy Limited and Gas-Plus Synergy Limited”.
The Managing Director explained that the SPAs will facilitate the project execution and development of infrastructure led by off-takers to aid LNG delivery into the domestic market.
According to him, the execution of these SPAs follows a Domestic LNG (DLNG) Workshop which was held in November 2019 to stress test the delivery model with industry stakeholders and a series of engagements to identify suitable actors to co-create the initiative and stimulate market interest for potential off-takers.
He congratulated the Board of Directors and Shareholders for the demonstration of faith in the Decade of Gas vision, and commitment to the actualization of that vision.
He also commended the Department of Petroleum Resources (DPR) that played a critical role.
Noting that this will be the decade of gas, he urged everyone to leverage on the nation’s reserves
to accelerate power generation solutions through Gas-to-Power projects.
He projected to the stakeholders that it “will be the decade when as a nation we stop reporting deaths from pollution through the use of wood and solid fuels as domestic energy sources.
“And it will be the decade for empowering local SMEs to take advantage of the various investment opportunities that the Decade of Gas will attract”.