NNPCL Launches Five LNG Expansion Project in Kogi
The Nigerian National Petroleum Company Limited (NNPCL) has officially commenced the construction of five mini Liquefied Natural Gas (LNG) plants in Ajaokuta, Kogi State.
The initiative, aimed at expanding Nigeria’s domestic gas utilisation, is expected to boost energy access, support industrialisation, and create job opportunities.
The Group Chief Executive Officer of NNPCL, Mele Kyari, during the groundbreaking ceremony in Kogi State on Thursday, emphasised that the location is strategic for the plants as the company’s pipeline network has already reached the area.
He noted that gas is available in their pipeline, allowing for a seamless connection to the major infrastructure currently under construction.
According to him, President Bola Tinubu has consistently highlighted that this is the era of the gas revolution in Nigeria, given the country’s vast gas resources.
Kyari noted that gas has the potential to become a transformative vehicle for driving growth and prosperity across the nation.
“The auto CNG cannot succeed without access to gas and that is why this facility is an enormous mobiliser for our efforts, the government’s efforts, particularly to bring cheap fuel to Nigerians and also because Mr President promised that he is going to make available cheap fuel to Nigerians and I would like all of us at this moment to recognise and understand that the drive for these projects in this location is coming from Mr President,” he said.
Kyari reaffirmed that the NNPC is highly committed to delivering other critical gas infrastructure projects aimed at harnessing the nation’s gas resources for economic growth and energy security.
On the date of delivery, he said: “I’m confirming that enormous work is going on and we will deliver them. We don’t want to give you dates, as usual, we will surprise you. But before then, we understand very clearly that gas delivery must be done most quickly, particularly for locations where the backbone infrastructure doesn’t exist today and that is why we and our partners decided that it is appropriate and timely to start five mini LNG projects in one location,” he stated.
Speaking, the Chief Executive of the Nigerian Midstream and Downstream Petroleum Regulatory Authority, Farouk Ahmed, highlighted that the Ajaokuta gas corridor is gradually emerging as a hub for numerous gas infrastructure projects.
These include CNG compression and refuelling stations as well as several LNG plants, all of which are materialising due to enabling government policies, initiatives, and programmes such as the Decade of Gas, the Presidential CNG Initiative, and various executive orders and directives.
He noted that with gas identified as a stopgap fuel for energy transition and Nigeria’s commitment to a just energy transition, the government and NMDPRA are prioritising gas utilisation projects.
“With more projects like these five mini LNG plants seeing the light of the day, the national aspiration of increased gas utilisation deepened and robust gas markets will soon be fully realised. This will have a beneficial effect on the environmental footprints of gas exploration and production activities, increased GDP through job creation, enhanced tax revenues, energy diversity portfolios and energy security. The NMDPRA through its enhanced stakeholders engagement mechanism will continue to partner with companies to support the various initiatives and programs of governments,” he emphasised.
He added that the NMDPRA would continue to deploy various regulatory tools to enable business operations while ensuring safety, ethical practices, and overall compliance with technical and commercial regulations. This, he emphasised, is essential for maintaining orderly and effective operations in Nigeria’s midstream and downstream sectors.
The five mini LNG plants are Prime LNG, NGML/Gasnexus LNG, BUA LNG, Highland LNG, and LNG Arete.
