Nigeria Liquefied Natural Gas Limited (NLNG) has signed the Engineering, Procurement and Construction (EPC) contracts for its over $10 billion Train 7 Project with the SCD JV Consortium comprising affiliates of Saipem, Chiyoda and Daewoo.
According to NLNG’s General Manager, External Relations, Eyono Fatayi-Williams, the execution of the EPC contracts now triggers the commencement of the Detail Design and Construction phase of the roject expected to increase the capacity of NLNG’s current six-train plant by 35 per cent from the extant 22 million tonnes per annum (MTPA) to 30 MTPA.
Commenting on the deal, the Managing Director and Chief Executive Officer of NLNG, Engr. Tony Attah, remarked that the EPC contracts represents yet another milestone in NLNG’s journey towards achieving its vision of being a global LNG company, helping to build a better Nigeria.
He said: “With the award of the EPC contracts to our preferred bidders (SCD JV), we are guaranteeing that our country remains significantly on the global list of LNG suppliers.
This singular act clearly demonstrates our shareholders’ determination and resolve to sustain the economic dividends that NLNG’s monetisation of our vast natural gas reserves offers our great country Nigeria”
He expressed confidence in SCD JV Consortium’s proven competence, adding that the demonstration of an understanding of NLNG’s business philosophy by the consortium will positively influence the execution of the Project and ensure zero harm to people, environment and host communities.
The Group Managing Director (NNPC) Mele Kyari, said NLNG operates a unique business model that is profitable, saying that the stakeholders are proud to be part of this exceptional Nigerian brand that stands out in the global market.
“It is for this reason that President, Muhammadu Buhari instructed NNPC to support all the critical Shareholders and NLNG’s Management to pursue the Company’s ambition of adding a 7th train to its existing production capacity.
NLNG said the Project was in fulfilment of its vision of “…being a global company, helping to build a better Nigeria. The project upon completion will support the Federal Government’s drive to generate more revenue from Nigeria’s proven gas reserves of about 200 trillion cubic feet (Tcf) and further reduce gas flaring in the country’s upstream oil and gas industry.
The construction period is expected to last approximately five years with first LNG rundown expected in 2025.
NLNG is an incorporated Joint-Venture owned by four Shareholders, namely, the Federal Government of Nigeria, represented by Nigerian National Petroleum Corporation (49 per cent), Shell Gas B.V. (25.6 per cent), Total Gaz Electricite Holdings France (15 per cent), and Eni International N.A. N.V. S.àr.l (10.4 per cent).
Source: The Nation