President Bola Ahmed Tinubu has called on the Nigeria Liquefied Natural Gas (NLNG) Limited to prioritise domestic gas utilisation and accelerate efforts to reduce gas flaring, saying Nigeria must derive greater economic value from its abundant natural resources.
Tinubu made the call on Wednesday at the State House, Abuja, when he received the Board and management of NLNG, led by its Managing Director and Chief Executive Officer, Engineer Adeleye Falade.
The President commended the company for improving its operational capacity and delivering strong returns to its shareholders, but stressed that greater attention must be given to meeting Nigeria’s domestic energy needs.
According to him, gas that is currently being flared should instead be harnessed to support economic activity, improve energy access and create value for Nigerians.
Tinubu said the government was prepared to provide additional incentives where necessary to encourage NLNG to expand its capacity and maximise the country’s gas resources.
He also emphasised the need to make Nigeria’s energy resources more accessible to citizens, stressing that natural resources only become valuable when properly developed and deployed to support the economy.
NLNG Capacity Rises as Oil Production Improves
Earlier, Falade briefed the President on the company’s operations since the new management assumed office in April.
He disclosed that NLNG had generated more than $150 billion since its establishment, while its shareholders, including the Federal Government, had received approximately $47 billion in dividends. The Federal Government holds a 49 per cent stake in the company.
Falade explained that NLNG had previously been operating at about 60 per cent capacity due largely to constraints in crude oil production. This meant the company could operate only four of its six available production trains.
However, improved crude oil production has enabled the company to increase operations to five trains, with further improvements anticipated.
The NLNG chief executive also disclosed that all Liquefied Petroleum Gas (LPG), commonly known as cooking gas, produced by the company is currently allocated to the Nigerian domestic market.
Train 7 Expansion in Focus
Falade said NLNG was keen to inaugurate Train 7, which is expected to raise the company’s production capacity by about 35 per cent.
He added that NLNG currently accounts for approximately five per cent of global Liquefied Natural Gas (LNG) supply.
According to him, shareholders have also expressed satisfaction with the improved stability of Nigeria’s fiscal environment, which he said was helping to encourage additional investment in the country’s oil and gas industry.
He commended security agencies and industry regulators for their role in improving stability within the sector.
Bonny-Bodo Road Project Completed
Falade further informed President Tinubu that the Bonny-Bodo Road and Bridge project, financed by NLNG, had been completed and was awaiting official commissioning.
The project is expected to improve connectivity and economic activities within the affected communities.
The NLNG delegation included Deputy Managing Director Olakunle Osobu; Board Director and Managing Director of TotalEnergies EP Nigeria Limited and Country Chair of TotalEnergies, Matthieu Bouyer; Board Director, Vice Chairman and Managing Director of Nigeria Agip Exploration, Maurizio Pinna; and General Manager, External Relations and Sustainable Development, Sophia Horsfall.
Others at the meeting included Manager, Government Relations and Regulatory Compliance, Abdul Umar; Head, Government Relations, Tonbrafa Nanaghan; and Senior Government Relations Adviser, Rufai Mohammed Lawal.
Minister of Information and National Orientation, Mohammed Idris; Special Adviser to the President on Information and Strategy, Bayo Onanuga; and Senior Special Assistant to the President on Energy Transition, Yasmin Mohammed, also attended the meeting.
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