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Nigeria Expands Gas Infrastructure with Five Mini-LNG Plants in Ajaokuta

adminadminJanuary 30, 2025 3292 Minutes read0
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By JKNewsMedia 

A MAJOR push to expand Nigeria’s gas infrastructure has taken shape with the launch of five mini-Liquefied Natural Gas (LNG) plants in Ajaokuta, Kogi State.

The initiative, a collaboration between the Nigerian National Petroleum Corporation (NNPC) Ltd and private sector partners, is aimed at deepening domestic gas utilisation, reducing carbon emissions, and strengthening energy security.

The five plants—NNPC Prime LNG, NGML/Gasnexus LNG, BUA LNG, Highland LNG, and LNG Arete—will collectively process 97 million standard cubic feet of gas per day (mmscf/d).

NNPC Ltd announces it holds significant stakes in three of the facilities, controlling 90% of Prime LNG, 50% of NGML/Gasnexus LNG, and 10% of BUA LNG, while the remaining two are privately developed.

At the groundbreaking ceremony, NNPC Ltd’s Group Chief Executive Officer, Mele Kyari, reaffirmed the company’s commitment to the Federal Government’s gas-to-power agenda. He described natural gas as a catalyst for industrialisation, job creation, and economic diversification, adding that the mini-LNG projects would improve energy access and drive economic growth.

“These facilities will enable efficient gas transportation over long distances, providing a cleaner and more affordable energy source to households, industries, and businesses. This is particularly crucial for areas without existing pipeline infrastructure,” Kyari stated.

He credited the progress in upstream and gas infrastructure to President Bola Tinubu’s support for using gas to drive industrialisation and economic stability.

Minister of State for Petroleum Resources (Gas), Rt. Hon. Ekperikpe Ekpo, hailed the development as a historic milestone in Nigeria’s oil and gas sector.

Ekpo noted that natural gas remains a key enabler for industrialisation, economic growth, and environmental sustainability.

He assured NNPC Ltd and its partners of the Federal Government’s full support, aligning the initiative with national economic goals and carbon footprint reduction efforts.

Kogi State Governor, Ahmed Usman Ododo, praised the Federal Government’s decision to site the projects in Ajaokuta.

He described the investment as a game-changer for the state, with the potential to generate direct and indirect employment while boosting local businesses.

He also pledged the state government’s support through manpower supply, security provisions, and host community collaboration to ensure the success of the initiative.

NNPC Ltd’s Chairman, Chief Pius Akinyelure, described the launch as a step towards sustainable energy security and economic advancement.

He linked the project to the Federal Government’s Renewed Hope Agenda, stressing that the initiative marks a significant shift towards energy independence and industrial growth.

He noted that the launch of these mini-LNG plants represents a major leap in Nigeria’s energy sector, reinforcing the government’s strategy to harness the country’s vast gas reserves for economic development and environmental sustainability.

Tags
Energy DevelopmentNigerian economyOil and Gas Industry
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