NIPCO Gas Limited has announced plans to develop a Floating Liquefied Natural Gas (FLNG) project in Nigeria, with the proposed investment estimated at more than $3 billion.
The company disclosed the plan at a press conference on Thursday, saying the project is expected to have a production capacity of about three million tonnes of liquefied natural gas per year, subject to feasibility studies, regulatory approvals and a final investment decision.
NIPCO Managing Director, Nagendra Verma, said the company is considering locations around the Escravos area of Delta State and the Akwa Ibom region for the project.
If developed, the facility would represent NIPCO’s entry into the LNG sector and add to Nigeria’s growing efforts to expand gas processing and export capacity.
The proposed project comes at a time when Nigeria is seeking to attract more private investment into its gas industry and make greater use of its substantial natural gas resources.
NIPCO’s plans also come as several companies pursue new gas projects aimed at increasing Nigeria’s ability to process, utilise and export natural gas. However, the FLNG project must still pass through the required feasibility, regulatory and investment stages before construction can begin.
