Lagos — Nigeria is estimated to have earned N354 billion or $983.3 million from its first Liquefied Natural Gas, LNG, export this year.
Nigeria’s first batch of LNG export, totalling 950,000 metric tons, came as countries gradually lift lockdowns from the COVID-19 pandemic.
The LNG volume was fitted into over 16 vessels and were sent to various destinations, according to the Nigerian Port Authority, NPA’s shipping data.
The vessels include LNG Lokoja which delivered 66,000 tons to China, Spain, and United States; Maran Gas Olympias, which lifted 70,000tons; LNG Cross River, 63,000 tons; LNG Borno, 66,000 tons; LNG Bayelsa, 63,000 tons; and Castillo De Caldelas, 70,000 tons.
Other vessels are Valencia Knutsen with 70,000 tons; LNG Bonny II, 72,000 tons; Catalunya Spirit, 65,000 tons; LNG Finima II, 72,000 tons and LNG River Niger, 63,000 tons.
The Nigeria LNG Limited, NLNG, operates six LNG trains on Bonny Island, Rivers State, producing 22 million tons per annum, mmtpa, which amounts to roughly 10% of the world’s LNG consumption. Trains 1, 2 and 3 have production capacities of 3.2 mtpa each, whilst trains 4, 5 and 6 have capacities of 4.1 mmtpa each.
As of April 2020, trains 1-3 has nominal production capacities of 3.3 mtpa.
According to the International Gas Union’s World LNG 2017 report, Nigeria was the fourth largest LNG exporter by share after Qatar, Australia, and Malaysia between 2015 and 2016.
The NLNG is currently planning the construction of a Train 7 plant, which upon completion is expected to increase the company’s production capacity from 22 million metric tons to 30 million metric tons per year.
Train 7 is expected to create over 12,000 jobs at construction stage, generate more revenue to the government in dividend, and will further reduce the level of gas flaring in the country.
The NLNG is jointly owned by the government of Nigeria, represented by the Nigerian National Petroleum Corporation, NNPC, with a shareholding of 49 per cent, while Shell Gas B.V has 25.6 per cent; Total LNG Nigeria Ltd, 15 per cent; and ENI International, 10.4 per cent.