Nigerian National Petroleum Corporation (NNPC) has signed a US$2.5bn pre-payment deal with Nigeria LNG to develop upstream gas projects, in order to increase gas supply to the Bonny liquefaction plant, with NLNG targeting a full capacity utilisation of the six existing trains.
Currently, Nigeria LNG has long-term gas supply agreements with Shell Petroleum Development Company of Nigeria Limited (SPDC), Total Exploration & Production Nigeria (TEPNG) and Nigerian Agip Oil Company Limited (NAOC). NNPC has a 55% share in SPDC, 60% in TEPNG and 60% in NAOC.
Nigeria Liquefied Natural Gas (NLNG), a company made up of NNPC (49%), Shell (25.6%), Total (15%) and Eni (10.4%), owns the Bonny Island liquefaction plant, which is currenty composed of 6 trains with a total capacity of 22 Mt/year (30 bcm/year). In 2018, Nigeria was the fifth-largest LNG producer in the world, with its production reaching 25 bcm (-3% compared to 2017). In September 2019, NLNG signed a Letter of Intent (LOI) for the EPC of a seventh with a consortium composed of Saipem, Chiyoda and Daewoo. FID is expected by the end-2019. The Train 7 project will have a capacity of 8 Mt/year (10.8 bcm/year), increasing the total production capacity of the company by 35% to 30 Mt/year (40.5 bcm/year).