Nigeria LNG exports total approximately US$85 billion in 15 years

As announced on 19 June 2015, Nigeria Liquefied Natural Gas Company Limited (NLNG), a joint venture between the government and established foreign oil companies, has generated approximately US$85 billion from its exports since its launch just 15 years ago.

Nigeria currently exports 22 million t of LNG, making it the world’s fourth largest LNG exporter.

Chief Executive of NLNG, Babs Omotowa, told reporters in Lagos: “For us, it has been a success story. Between 1999 when we came on stream and now, we have realised some US$85 billion from exports of LNG to buyers in Europe, America and Asia.”

NLNG, a company which was established in order to harness Nigeria’s vast natural gas resources and produce liquefied natural gas for export, has also paid billions in tax, according to Omotowa.

“Just a few days ago, we paid US$1.6 billion to the government as tax and this will go a long way to assist the new government in solving some of its problems,” he said.

Whilst the country is facing an economic crunch – with around 20 of 36 states not being able to pay workers’ salaries – Omotowa said that the company had paid around US$30 billion in dividends to its shareholders over the years, including the government which owns a 49% stake in NLNG through the Nigerian National Petroleum Corporation.

NLNG’s other shareholders are Shell, which owns 25.6%, Total LNG Nigeria, a subsidiary of Total, which owns 15%, and Eni, which has 10.4%.Plans to expand the NLNG plant in Finima on Bonny Island, in the oil and gas-rich southern Rivers state, will occur by 2017.

“With six trains currently operational, plans for building Train 7 that will lift the total production capacity to 30 million tpy of LNG are currently progressing,” said Omotowa. He said Train 7 would cost an estimated US$12 billion, create 18 000 construction jobs and bring in an additional US$3 billion in exports when operational.

Sources: The Guardian Nigeria, Daily Times Nigeria

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