Kogi: The Federal Government has initiated the construction of five Mini Liquefied Natural Gas (LNG) Plants in Ajaokuta, Kogi State.
According to News Agency of Nigeria, these plants are designed to enhance gas accessibility and utilization across Nigeria. The Nigerian National Petroleum Company Limited (NNPC Ltd.) collaborates with PRIME LNG, NGML/Gasnexus LNG, BUA LNG, Highland LNG, and LNG Arete to bring this project to fruition.
The expansive project spans 33,000 hectares and represents a $500 million investment, with a combined capacity of 97.5 million standard cubic feet of gas per day. It aligns with the ‘Decade of Gas’ initiative, focusing on a multifaceted virtual pipeline development. The plants will produce Condensate, Liquefied Natural Gas, Liquefied Petroleum Gas (LPG), and Compressed Natural Gas (CNG), thereby increasing gas availability and supporting economic development.
At the groundbreaking ceremony, Mr. Ekperikpe Ekpo, Minister of State Petroleum Resources (Gas), emphasized the project’s role in maximizing Nigeria’s natural gas resources. He expressed confidence in NNPC Ltd.’s ability to deliver the project on time, while commending the state government’s commitment to providing security for its execution. Ekpo highlighted natural gas as a critical factor for Nigeria’s industrialization and economic growth, and reiterated the ministry’s support for initiatives that utilize the country’s gas potential.
Malam Mele Kyari, Group Chief Executive Officer of NNPC Ltd., pointed out the strategic location of the project and its proximity to the Northern market. He underscored the project’s potential to deliver an economical and reliable natural gas supply to industrial and commercial customers, reducing reliance on more polluting fuels.
Governor Ahmed Ododo of Kogi remarked on the collective commitment to cleaner energy for economic advancement, aligning with global climate change and energy security efforts. He assured that both investments and investors would be safeguarded, highlighting Kogi’s readiness for investment due to its rich mineral resources.
Senator Natasha Uduaghan, Chairman of the Senate Committee on Local Content, acknowledged President Bola Tinubu’s role in establishing the plant through an executive order. Uduaghan noted that the project would stimulate economic activities and revenue generation, while expressing hope for the resumption of operations at the Ajaokuta steel company.
The LNG project is poised to offer opportunities for gas commercialization and supports the Federal Government’s flare down initiative. It also provides a flexible solution for increasing gas penetration in remote areas lacking pipeline infrastructure.