Page 39 - Nigeriaone mag 2 edition en

Nigeria LNG

Nigeria LNG (NLNG), a floating unit located in Bonny, taps into Nigeria's huge gas reserves. This locally
owned private company, with the first FLNG license, excels in natural gas liquefaction. This massive gas
production would be partly dedicated to export, which would partly satisfy the growing demand.
History Issues and challenges
Known as the oil giant of Africa, Nigeria is gradual- LThe growth of the plant, which until 2006 was con-
ly combining gas production with oil production. In sidered the fastest in the world, has resulted in the
the 1950s, as oil production gradually increased, trains being built at 18-month intervals. The plant
the associated gas was being flared. In 1960, the now has six trains, which were expected to reach
idea of monetizing this resource changed things full capacity until 2019. Its production capacity is
somewhat. A panel was set up and recommended currently estimated at 22 million metric tons per
two LNG projects, one in the east and one in the year (mtpa) of LNG. It also joins 5 mtpa of natural
west of the Niger Delta. In 1975, the approval of the gas liquids.
executive council did not allow the project to move To improve NLNG's competitiveness in the global
forward with the change of government. market, an expansion is planned. The production
The same reason is primarily responsible for the capacity will increase by 35% due to the final inves-
abortion of the Bonny LNG project, which until tment decision (FID) on a 7th train.
1977 had the potential to be the largest LNG project A drastic increase in population expected in a few
in the world. An estimated 650 trillion Btu per year years, by 2050, will multiply the demand. This grow-
of capacity was to be sold to the United States and th may seem positive for the country's economy,
Europe. Until 1982, difficulties in finding the neces- but it is also a major concern for the environment.
sary investment remained and investors eventually LNG is therefore a preferred solution.
pulled out. The fall in oil prices was also a negative The competition is tough, however, because as the
factor for the country's economy. industry grows, innovations are emerging and so
The NLNG was created in 1989 following the inter- are uncertainties about the future of this resource.
vention of a new LNG working committee created 4 The United States, Germany and Qatar are major
years earlier. The first cargo left the port 10 years competitors in this sector.
later, in 1999. This consortium of oil companies
ensures the valorization of the associated gas and
the export of this resource. The company is also
contributing to an environmental cause by redu-
cing pollution in the Niger Delta.

NLNG projects
An estimated $10 billion has been invested in the
construction of NLNG's seventh liquefaction train.
The project was inaugurated on June 15, 2021. It is
scheduled to come on stream in 2024, with
operations that will place Nigeria on the list of the
world's largest gas producers. Just over two years
after the initial six trains reached their full
potential, the plant is investing in the construction
of a seventh train and planning the eighth. So, the
gas development has not finished raising the
nation. Flares in Nigeria

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