NNPC Ltd, Gas Suppliers Seal $1.29bscf/d Feedgas Agreements with NLNG
Ojulari Commends Tinubu’s Support for Nigeria’s Oil and Gas Sector
ABUJA – In a landmark move for Nigeria’s energy sector, the Nigerian National Petroleum Company Limited (NNPC Ltd) and several upstream gas suppliers on Friday signed long-term Gas Supply Agreements (GSAs) with the Nigeria Liquefied Natural Gas Limited (NLNG) for the delivery of 1.29 billion standard cubic feet per day (bscf/d) of feedgas.
The signing ceremony, held at the NNPC Towers in Abuja, brought together leading industry players including Amni International Petroleum Development Company Limited; Sunlink Energies and Resources Limited; First Exploration & Petroleum Development Company Limited; Shell Nigeria Exploration and Production Company (SNEPCo); NNPC Gas Marketing Limited; NNPC E&P Limited; Shell Nigeria Gas Solutions Limited; Oando Group; and Aradel Holdings.
The agreements, designed for a 20-year duration with extension options, are expected to bridge Nigeria’s long-standing upstream gas supply shortfalls. They represent a significant boost to the Federal Government’s energy transition drive, gas reforms and economic diversification agenda.
Speaking at the ceremony, NNPC Ltd’s Group Chief Executive Officer, Engr. Bashir Bayo Ojulari, described the GSAs as a “giant leap” toward sustainable energy supply and value creation. He stressed that the deals reflect a new era of collaboration, scale efficiency and risk-sharing that will accelerate the realisation of President Bola Tinubu’s “Decade of Gas” vision.
Ojulari praised the enabling business environment created by recent executive orders targeted at gas sector reforms. “It is important to commend the President’s tremendous effort in enabling the business through policy support, which has opened opportunities for both local and international development,” he said.
NLNG’s Managing Director, Philip Mshelbila, hailed the GSAs as a turning point in the company’s journey, noting that they would restore reliability of feedgas supply to NLNG’s Bonny Island plant, support expansion plans, and cement Nigeria’s role in the global energy market.
NLNG is an incorporated joint venture (IJV) with NNPC Ltd holding 49%, Shell Gas (25.6%), TotalEnergies (15%) and Eni International (10.4%).
