By Chibuike Nwabuko
ABUJA (PRECISE POST) – President Bola Tinubu has tasked the management of the Nigeria Liquefied Natural Gas (NLNG) Limited to maximise the benefits of Nigeria’s vast gas reserves by prioritising domestic utilisation and ending gas flaring.
Tinubu gave the charge on Wednesday at the State House, Abuja, when he received members of the NLNG Board, led by its Managing Director and Chief Executive Officer, Engineer Adeleye Falade.
The President said Nigeria must move beyond merely increasing gas revenue from international markets and ensure that the country’s gas resources are effectively deployed to support the domestic economy and improve the lives of Nigerians.
“I am inspired to understand that you are not limiting yourself to the gradual objective of upgrading.
“My major concern is the domestic utilisation, where you must be able to take out the flaring and convert potential environmental liability to what could be strategically and economically beneficial to the consumers in the country.
“Yes, you are doing great to really want the revenue up and taking advantage of international interests so that Nigeria might be deriving benefits, but help us back home,” Tinubu said.
The President commended the NLNG management for increasing the company’s capacity and ensuring improved returns on investment.
He assured the company that his administration would provide necessary incentives to stimulate further growth and expand its capacity for the benefit of Nigerians.
“I enjoy the teamwork and the way the NLNG is going, and you all, as team leaders, are giving value to what was the initial objective of the company. If any other incentive is needed to stimulate growth and expand your capacity, I will be willing to do that,” he said.
Tinubu stressed that Nigeria’s natural resources would only become meaningful when effectively harnessed and converted into economic value for the country and its citizens.
“We look straight far into the future, and I believe that this country has what it takes; but whatever asset that we have in the ground is nothing unless it’s brought up to service the economy, the people, and realisation of a good return on investment.
“I think that is the primary focus. But think of people, the need for domestication of some of these energy requirements and pricing mechanisms so that the ordinary man will feel it,” the President added.
NLNG generates over $150bn since inception
Earlier, the NLNG Managing Director and CEO, Engineer Adeleye Falade, told the President that the board was at the State House to brief him on the company’s operations since assuming office in April.
Falade disclosed that NLNG had generated more than $150 billion since its inception, with its shareholders, including the Federal Government, receiving about $47 billion in dividends.
Nigeria holds a 49 per cent stake in the company.
According to him, NLNG had previously operated at about 60 per cent capacity because of inadequate crude oil production, which limited the company to using four of its six available production trains.
He, however, said increased oil production resulting from positive developments in the oil and gas sector had enabled NLNG to increase its operations to five trains, with further improvements expected.
Falade also disclosed that all Liquefied Petroleum Gas (LPG), commonly known as cooking gas, currently produced by NLNG is concentrated on the domestic market.
Train 7 to boost capacity by 35%
The NLNG boss said the company was keen to inaugurate Train 7, which is expected to increase its production capacity by 35 per cent.
He added that Nigeria LNG currently accounts for about five per cent of the global LNG market.
Falade said the company’s shareholders had commended the stability in Nigeria’s fiscal environment, noting that the development was helping to attract more investment into the oil and gas sector.
He also commended security agencies and industry regulators for contributing to the stability currently being experienced in the sector.
The NLNG chief executive further informed the President that the Bonny-Bodo Road and Bridge project, financed by NLNG, had been completed and was awaiting official commissioning.
Other members of the NLNG delegation included the Deputy Managing Director, Olakunle Osobu; Board Director/Managing Director of TotalEnergies EP Nigeria Limited and Country Chair, TotalEnergies, Matthieu Bouyer; Board Director/Vice Chairman/Managing Director, Nigeria Agip Exploration, Maurizio Pinna; and General Manager, External Relations and Sustainable Development, Sophia Horsfall.
Also present were the Manager, Government Relations and Regulatory Compliance, Abdul Umar; Head, Government Relations, Tonbrafa Nanaghan; and Senior Government Relations Advisor, Rufai Mohammed Lawal.
The 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, attended the meeting.
