The Chief Executive of Nigeria Liquefied Natural Gas Company (NLNG), Babs Omotowa has disclosed that the company plans to deliver four LNG carrier ships before the end of 2015 and another two carrier ships in 2016 in a bid to make the company expand its share of the growing market.
NLNG which is owned by Nigeria National Petroleum Corporation (NNPC), Eni of Italy, Total of France and Royal Dutch Shell entered into agreements with Hyundai Heavy Industries and Samsung Heavy Industries of South Korea in 2013 to obtain six LNG carrier ships to increase its fleet of 23. The ships’ cost was over $1.2 billion.
Omotowa stated further that NLNG sourced the needed fund for the acquisition from South Korea Export and Import Bank and other lenders. He revealed that worldwide trade for LNG – natural gas that has been transformed to a liquid form has shrinked the volume and makes it easier to store and transported via shipping.
He projected that the company’s LNG-natural gas liquefaction production lines’ turnover to increase to 430 million tonnes per year by year 2030 from 230 million that is currently produced.
He said, “With our growth projects train 7 and train 8, we hope to expand our capacity by 40 percent and take us back to over 10 percent”.
While adducing reason as to why the exports of LNG have failed to impact Nigeria’s domestic supply, he said, “The domestic gas market had been held back by a lack of infrastructure including a functional rail system to ferry gas around the country and government funding challenges.”