Nigeria’s immense gas resources got global attention in Tokyo, Japan, last week at the maiden edition of the LNG Producers –Consumers Conference organised by the Japanese Government to create a mutually beneficial forum for the world’s major producers and consumers/importers of liquefied natural gas.
Addressing the forum, the Group Managing Director of the Nigerian National Petroleum Corporation, NNPC, Mr. Andrew Yakubu, said that although Nigeria entered the LNG market a bit late, the country has overtime emerged a reliable supplier in the global liquefied natural gas market.
Presenting a paper titled: “Prospects of LNG Supply from Nigeria and NNPC LNG Sales Strategy,” the NNPC boss disclosed that as at the last count, Nigeria holds the record for the fastest growing LNG production capacity in the world.
“From a modest two train base LNG project of 8 million tons per annum (mtpa) in 1999 to the current six operating train capacity of 22 mtpa. In 2011, the six trains exported about 22 mtpa of LNG representing about 10% of world production. Other major LNG projects (Brass & OK LNG) are in different stages of development. Final Investment Decision (FID) on the Brass LNG project comprising two trains of 10 mtpa is planned for first quarter, 2013,” Yakubu said.
He noted that the overall target is to immediately take FID on the Brass LNG’s 10mtpa project which will be closely followed by FID on the NLNG’s 7th train of 7.8mtpa, and thereafter OKLNG. “On completion of these LNG projects Nigeria’s LNG production capacity will be over 52 mtpa,” he said.
The GMD also announced the activation of a new LNG Sales Strategy for upcoming LNG projects with the following basic components namely; to capture & retain high value LNG markets globally including Asia Pacific markets like Japan and Participate in the downstream segment of the LNG value chain
“Historically, Nigeria’s marketing effort was geared towards meeting the demand in the Atlantic Basin. However, the changing market conditions in the Atlantic Basin have compelled a broadening of our sales strategy to include the competitive Asia market,” he said.