Energy: NNPC, Sahara Group Invest N181bn In Gas Carriers
The Nigerian National Petroleum Company Limited (NNPC) and leading energy and infrastructure conglomerate, Sahara Group have acquired two 23,000 CBM Liquefied Petroleum Gas (LPG) vessels at the Hyundai MIPO Shipyard in Ulsan, South Korea.
The two groups also announced plans to add 10 vessels in 10 years to enhance Africa’s transition to cleaner fuels.
The new vessels, MT BARUMK and MT SAPET, have increased NNPC and Sahara Group’s joint venture investment to over $300 million, approaching the JV’s $1 billion gas infrastructure commitment by 2026.
The fleet previously comprised MT Sahara Gas and MT Africa Gas. All four vessels were built by Hyundai MIPO Dockyard, a foremost global manufacturer of mid-sized carriers.
WAGL Energy Limited, the JV company between NNPC and Oceanbed (a Sahara Group Company) is driving NNPC’s five-year $1 billion investment plan announced in 2021 to accelerate the decade of gas and energy transition agenda over the period.
NNPC’s GMD Mele Kyari disclosed, to the delight of guests, that an order for three additional new vessels was being finalised, adding, “we have a target of delivering 10 vessels over the next 10 years.
“The NNPC and our partners stand out with integrity in our energy transition quest and our commitment to environmental sustainability is unwavering.”
MT BARUMK and MT SAPET are WAGL and Sahara Group’s injection into the JV. WAGL is shoring up its gas fleet and terminal infrastructure, while Sahara Group continues to make remarkable progress in the construction of over 120,000 metric tons of storage facilities in 11 African countries, including Nigeria, Senegal, Ghana, Cote d’Ivoire, Tanzania and Zambia among others.
Kyari says the vessels were critical to driving the federal government’s commitment to the domestication of gas in Nigeria through several initiatives and increasing seamless supply in compliance with the mandate of President Muhammadu Buhari.
Temitope Shonubi, Executive Director Sahara Group, said: “WAGL has successfully operated two mid-sized LPG Carriers – MT Africa Gas and MT Sahara Gas – in the region in keeping with global standards, delivering over six million CBM of LPG across West Africa.
“With the new vessels, we are set to promote and lead Africa’s march towards energy transition.”