NLNG Shifts Towards Third Party Gas Sourcing to Meet Energy Demand
Nigeria LNG Limited (NLNG) has announced a strategic shift toward third-party gas sourcing to sustain production and meet growing energy demands across Africa and global markets.
Mr Nnamdi Anowi, General Manager, Production, NLNG, disclosed this while addressing a Focussed Group Session at the Gastech Exhibition and Conference in Milan, Italy. The session was themed “Resilience in the Face of Operational Challenges – The NLNG Story.”
Anowi explained that the move became necessary following the International Oil Companies’ (IOCs) divestment from onshore to deepwater operations in Nigeria.
He recalled that NLNG achieved record output in 2019 with 316 LNG cargos, but subsequent gas supply constraints triggered a strategic rethink.
“Our initial gas supply came from shareholder IOCs. However, with Eni transferring assets to Oando and other divestments, we shifted focus to third-party gas sourcing.
“Today, 75 per cent of our feed gas comes from third-party suppliers, and we have signed several Gas Supply Agreements to sustain operations,” he said.
Anowi revealed that the company expects its second tranche of third-party supplies by October.
According to him, at this pace, we anticipate adequate gas from late 2026 through early 2027,” he added.
Anowi underscored the continent’s energy deficit, noting that 60 per cent of Africa’s population still lacked access to affordable energy despite its vast reserves.
He described Nigeria as a ‘gas-rice nation with largely untapped offshore reserves,’ stressing the importance of infrastructure and investment to unlock them.
“The Federal Government has rolled out incentives for offshore gas exploration and production. This is where LNG plays a critical role, delivering energy to the parts of Africa that need it most,” he said.
Anowi projected that affordable energy access could transform Africa into a global manufacturing hub, noting how Nigeria’s economy boomed when the country witnessed improved power.
He said that similar developments could occur across Africa with affordable energy access, making the continent to become a global manufacturing hub.
“What happened in Nigeria when power availability improved can happen across Africa. With energy, industry will thrive, jobs will be created, and production will shift to Africa.
“Investors and financiers must begin to view Africa as a viable destination, especially with current government incentives,” he added.
On NLNG’s operations, he highlighted that NLNG operated six trains with combined capacity of 22 million tonnes per annum (MTPA), while Train 7 is under construction to expand output by over 30 per cent.
However, he noted that plant utilisation had averaged around 60 per cent over the past three years, reinforcing the need for alternative gas supply strategies.
Anowi reaffirmed NLNG’s commitment to combating energy poverty and spurring industrial growth in Africa.
Earlier, Ms Tolulope Ajitoni, Senior Instrumentation Engineer at NLNG, presented a technical paper on “New Trends in Operational Technology Security.”
She called for heightened cybersecurity measures across the LNG value chain, warning that cyberattacks could trigger catastrophic safety incidents and production losses.
“In the next 25 years, LNG will be central to power generation, cooking, and industrial applications.
“Protecting this infrastructure from cyber threat is no longer optional,” she said.
Ajitoni proposed a five-layer cybersecurity framework covering identification, protection, detection, response, and recovery. She cautioned that a breach in LNG operational systems could result in explosions, fires, and safety hazards for plant personnel. #NLNG Shifts Towards Third Party Gas Sourcing to Meet Energy Demand
