President Muhammadu Buhari has enjoined stakeholders in the Nigerian Liquefied Natural Gas (NLNG) to collaborate in ensuring the timely completion of the $10 billion Train 7 project.
Train 7 is expected to attract $10 billion in Foreign Direct Investments (FID), and add eight million tonnes of gas supply to the existing 22 million tonnes and rev up production by about 35 per cent.
The project is expected to also yield $20 billion to the federation, and create 10,000 direct jobs and 40,000 indirect jobs, while 55 per cent of the engineering work is to be carried out in Nigeria.
Buhari said the NLNG has generated over $114 billion as revenue over the years.
He called on the board of directors, management, and staff of NLNG, the host communities, the Rivers State Government and other agencies of government to continue to collaborate to ensure the completion.
He said: ”As we flag off the Train 7 project today, I look forward to the development and execution of more gas projects by the International Oil Companies (IOCs) and indigenous operators, and more trains from Nigeria LNG to harness the over 600 trillion cubic feet of proven gas reserves we are endowed with.
”Let me use this opportunity to commend the shareholders of NLNG, the Federal Ministry of Petroleum, NNPC and the NCDMB and other stakeholders for very exemplary collaboration, which has culminated in this great opportunity for Train 7.
”I want to thank the foreign investors for the confidence reposed in Nigeria, and assure all Nigerians and potential investors in the oil and gas sector that the federal government will continue to create the enabling environment in order to develop the sector and bring the full benefits of gas closer to our people.”
Buhari recalled that the story of Nigeria LNG was one he had been ”passionately associated with during the formative years of the project.”
He added: ”As Minister of Petroleum Resources, I kicked off our first foray in LNG Business in 1978. At the time, it was already apparent that Nigeria was mainly a gas-rich country with a little oil!
”It therefore gives me great joy to see the organisation transform from just a project in the early 90s to a very successful company with over 20 years of responsible operations and a steady supply of liquefied natural gas, liquefied petroleum gas and natural gas liquids into the global market. This is proof that Nigeria has a great capacity to deliver value to the world by harnessing our natural resources.”
55 per cent of all procurements for the execution of the project will be done by Nigerian vendors, 100 per cent of all installations and construction will happen in-country, while the contractors for the project are SCD JV Consortium, comprising affiliates of Saipem, Chiyoda and Daewoo.
The facility which is owned and operated by NLNG, a joint venture between Nigerian National Petroleum Corporation (NNPC), which owns 49 per cent, Shell Gas, with 25.6 per cent ownership, Total, which has a 15 per cent stake and Eni with 10.4 per cent equity.