FG seeks third-party gas transportation through joint pipeline

The Federal Government says partners in the Nigeria Liquified Natural Gas (NLNG) should allow third-party suppliers to transport its gas through joint pipeline.

Minster of State for Petroleum, Timprye Sylva while speaking with the new Italian Ambassador to Nigeria, Stefano De Leo, said this will increase gas production in the country.

Sylva in a statement by his Special Adviser on Media and Communications, Horatius Egua, said Nigeria is presently face with insufficient supply of gas to the country, with the installed capacity only allowing for 70 per cent of the gas needs.

“The issue we have with the existing NLNG Trains is that of insufficient gas supply. The partners are running out of gas, and they are refusing the third party to supply gas to the Trains,” he said.

“The partners are insisting that they can allow third-party supply gas to the plant only if they agree to supply at subsidised rates.

“These people, of course, want to make money and they cannot supply at subsidised rates and that’s why the NLNG Trains cannot produce at full capacity.

“The partners can afford to supply at subsidised rates because they are partners in the NLNG project, not the third parties.

“This is a very critical issue I want to discuss with the respective partners to see how we can resolve this problem so that we can increase the production capacity of the NLNG.”

NLNG has six operational trains and is currently working on its Train 7 project.