A Review of the Nigerian Energy Industry

NLNG boosts domestic LPG supply to 250,000 mt

 NLNG loading bayYemie ADEOYE

27 July 2013, Port Harcourt –  Nigeria LNG Limited in continuing its commitment to re-create a domestic Liquefied Petroleum Gas, LPG, industry in Nigeria has announced an increase in the quantity of LPG, cooking gas, supplied to the Nigerian Market to 250,000 metric tonnes of cooking gas, up from 150,000 metric tonnes.

This sixty-seven percent (67%) increase is expected to enable ample stock of the alternate fuel and promote the use of cooking gas – necessary for its salutary effects on the environment, including its role in controlling deforestation.

Nigeria LNG Limited currently provides over 70% of cooking gas used in Nigeria, and the current increase arose from its recent survey of the domestic market which showed that domestic LPG consumption had exceeded 150,000 metric tonnes, a demand which was less than 60,000 metric tonnes when NLNG intervened in 2008 with domestic supply of cooking gas.

Increased usage of LPG in the domestic market helps reduce environmental despoliation; create employment from new business opportunities; reduce respiratory health problems attributable to wood smoke and reduce poverty:  low LPG usage is an index of poverty.

Mr Babs Omotowa, Managing Director, Nigeria LNG Limited said that he was extremely delighted that NLNG, true to its vision to help build a better  Nigeria, is able to increase its supply of domestic gas. He added that the assurance of steady supply should increase investors’ confidence in the cooking gas industry, an industry which currently needs investments in storage, transportation, and cylinders. 

Omotowa stated that he was hopeful that the domestic market will grow even beyond cooking gas, to low-cost retrofitting of cars, to use both gasoline and natural gas; as LPG is less expensive than petrol.

NLNG is a Nigerian Joint Venture company whose shareholders are the Nigerian National Petroleum Corporation (49%), Shell (25.6%), Total LNG Nigeria Limited (15%) and ENI International (N.A.) S.a.r.l (10.4%).


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