Nigerian National Petroleum Company (NNPC) Limited has commenced shipments of liquefied natural gas (LNG) to Japan and China on a delivered ex-ship (DES) basis, marking a significant milestone in its strategic vision to become a dynamic and reliable global energy supplier of choice.
Gatekeepers News reports that according to Olufemi Soneye, chief corporate communications officer at NNPC, the company’s downstream subsidiaries, NNPC LNG Limited and NNPC Shipping Limited, collaborated to deliver the first DES LNG cargo to Japan on June 27. Since then, NNPC has expanded its footprint to China with the delivery of one LNG cargo on DES basis.
Dapo Segun, executive vice-president of downstream at NNPC, highlighted the benefits of the DES system, saying, “Apart from being more financially rewarding, it allows NNPC Ltd. inroads into the downstream segment of the LNG sector and positions it to capture more market shares while building in-house capacity.”
Panos Gliatis, managing director of NNPC Shipping, noted that the company aims to build a shipping portfolio, including owned vessels, to provide flexibility and strengthen its position as a world-class shipping provider in the LNG sector.
NNPC has been involved in LNG trading since 2021 and has traded over 20 cargoes into European and Asian markets on a free-on-board (FOB) basis.
The company plans to deliver at least two more LNG cargoes to the Asian market on a DES basis by November, with more orders expected before the end of the year.
