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    MarketForces Africa » MarketForces News » NNPCL, Partners Launch 5 Mini LNG Plants in Kogi

    NNPCL, Partners Launch 5 Mini LNG Plants in Kogi

    Julius AlagbeBy Julius AlagbeJanuary 30, 2025Updated:January 30, 2025 News No Comments4 Mins Read
    NNPCL, Partners Launch 5 Mini LNG Plants in Kogi
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    NNPCL, Partners Launch 5 Mini LNG Plants in Kogi

    The Federal Government on Thursday began the construction of five Mini Liquefied Natural Gas (LNG) Plants in Ajaokuta, Kogi State. The plants are to facilitate rapid access to gas to deepen its utilisation among Nigerians.

    The plants are being developed by the Nigerian National Petroleum Company Limited (NNPC Ltd.) in partnership with PRIME LNG, NGML/Gasnexus LNG, BUA LNG, Highland LNG and LNG Arete.

    The project will be constructed on 33,000 hectares of land, with a combined capacity of 97.5 million standard cubic feet of gas per day, and a 500 million dollars investment. The project is a multifaceted virtual pipeline development, in line with the ‘Decade of Gas’ agenda.

    They will produce condensate, liquefied natural gas, liquefied petroleum Gas (LPG), and compressed natural gas (CNG) and increase gas availability. At the ground-breaking of the plants, Mr Ekperikpe Ekpo, Minister of State Petroleum Resources (Gas), said the project was to deepen the utilisation of Nigeria’s abundant natural gas resources.

    Ekpo said he was confident in the NNPC Ltd.’s promise to deliver the project on schedule. He commended the state government for its pledge to provide adequate security to facilitate its execution.

    He described the natural gas as a veritable vehicle for accelerating Nigeria’s industrialisation and economic prosperity and working to achieve the nation’s commitments to a just and equitable energy transition.

    “I commend the outstanding efforts of the NNPC Ltd. and its partners, who worked round the clock to achieve this milestone, as we look forward to a smooth and safe project delivery of all five plants.

    “The Ministry stands with the NNPC Ltd. and partners to support initiatives that align with the goals of harnessing Nigeria’s abundant gas resources for economic development and reduction of carbon footprint,” he said.

    In his address, Malam Mele Kyari, Group Chief Executive Officer, NNPC Ltd., said the project has strategic location and proximity to the Northern market. He said it would deliver a cost-effective, long-term and reliable natural gas solution to industrial and commercial customers.

    Kyari said the NNPC Ltd. was committed to delivering the project, which would utilise domestic gas reserves and reduce reliance on polluting fuels. In his remarks, Gov. Ahmed Ododo of Kogi said the project was a collective commitment towards embracing cleaner energy in the country for economic prosperity.

    Ododo said the project aligned with the global effort to combat climate change, carbon emissions, and achieve energy security. “Economic benefits of this project cannot be overemphasised, as it is setting the state for brighter and more prosperous future, leveraging cleaner energy future.

    “We will ensure that both the investments and the investors are safe,” he said. The governor, while stating that Kogi is blessed with abundant mineral resources and open for investments, expressed the readiness of the host communities to safeguard the massive investment.

    Also speaking, Sen. Natasha Uduaghan, Chairman, Senate Committee on Local Content, appreciated President Bola Tinubu for passing the executive order for establishing the plant.

    “Gas is the future. It is a new paradigm shift for the country because the Ajaokuta-Kaduna-Kano (AKK) Gas Pipeline Project will be completed in the second quarter of 2025,” she said.

    Uduaghan said that the project would spur economic activities and revenue generation. She also expressed optimism that the Ajaokuta steel company would resume production soon for enhanced economic growth.

    The gas liquefaction project will create opportunities for gas commercialisation and support the Federal Government’s flare-down initiative. It will also provide a flexible solution to increase gas penetration in remote locations where pipeline infrastructure does not exist. Oyo Signs Contract Agreement on 68km Rural Road Projects

    lng Nigeria
    Julius Alagbe
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    Julius Alagbe is a senior financial journalist and Editor at MarketForces Africa with nearly two decades of experience in finance, accounting, and economics reporting.He is one of Nigeria's most prolific financial market reporters, covering capital markets, monetary policy, corporate earnings, banking, telecoms, and macroeconomic developments across Africa.Julius has built a strong footprint reporting on Nigeria's leading corporates and financial services sector, including coverage of the Nigerian Exchange Group, Central Bank of Nigeria monetary operations, MTN Nigeria, GTCO, and major investment banking transactions.He regularly monitors the CBN’s open market operations, interbank FX markets, and equity market movements, providing readers with real-time intelligence on Nigeria’s financial landscape.His reporting draws on direct access to institutional research from firms including Moody’s Ratings, CardinalStone Securities, Fitch, and other leading African investment houses.Julius brings analytical depth and editorial rigour to every story, making complex financial data accessible to professionals, investors, and policymakers across Africa.Julius Alagbe is based in Lagos, Nigeria.

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