NLNG CEO, Leye Falade, Hails Asiko Energy’s LPG Terminal, Says Infrastructure Key to Nigeria’s Energy Security
…NLNG’s domestic LPG supply had since increased to about 500,000 tonnes annually
Speaking at the completion ceremony of the terminal in Ijora, Lagos, he said the project demonstrated the importance of private-sector investment in addressing Nigeria’s infrastructure deficit across the gas value chain.
Falade expressed appreciation to Asiko Energy for its commitment and perseverance in bringing the project to completion despite the challenges associated with executing major infrastructure projects in Nigeria.
According to the NLNG MD, Nigeria is endowed with significant natural gas resources, but the country continues to face challenges in converting its resources into greater domestic energy access due largely to infrastructure limitations.
He said the development of LPG infrastructure was particularly important as demand for cooking gas continues to rise across the country.
The NLNG boss disclosed that the company began supplying cooking gas to the Nigerian market in 2005 with about 70,000 tonnes of LPG, when it reportedly accounted for the entire domestic market.
He said NLNG’s domestic LPG supply had since increased to about 500,000 tonnes annually, but that volume now represents only about 40 per cent of the country’s demand, highlighting the rapid growth in consumption.
“This means that demand is growing, and it means that we need to look for more opportunities to bring more gas into the market”
He further disclosed that NLNG had adopted a policy of dedicating its LPG production to the domestic market as part of efforts to support Nigeria’s energy transition and improve access to cleaner cooking fuel.
He also linked the expansion of LPG infrastructure to efforts to reduce reliance on traditional cooking fuels, which he said had contributed to smoke-related health risks, particularly among women.
He described infrastructure as the “critical piece” required to bridge the gap between Nigeria’s available gas resources and the needs of consumers.
According to him, Asiko Energy’s terminal would strengthen the gas value chain by providing infrastructure for the storage and distribution of LPG and propane.
“This allows us to domesticate the products that we have and make them better serve the lives of the average Nigerian.”
He added that the development could contribute not only to energy security but also to wealth creation and broader economic development.
Falade stated further that the company was pursuing an expansion programme that would increase its LPG production capacity by about 50 per cent by the end of the following year.
He said the expected increase in production would require additional infrastructure and partnerships with companies such as Asiko Energy to ensure that more LPG reaches consumers.
“We need the likes of Asiko Energy to be able to take it and ensure that it touches the lives of the average Nigerian in a positive way.”
He commended Asiko Energy for what he described as its resourcefulness and courage, assuring the company of NLNG’s continued partnership.
