The Nigerian National Petroleum Company Limited (NNPC Ltd) has took a new step in its gas strategy by signing on Monday 16 February in Abuja, a memorandum of understanding with China Gas Holdings Limited and Peiyang Chemical Singapore PTE Ltd (PCCS). The ceremony took place at the headquarters of the national company, in the presence of several local media.

This agreement establishes a structured framework for cooperation. covering different links in the gas value chain, with a focus in particular on the development of liquefied natural gas (LNG). It foresees in particular the valorization of associated gas, which is still largely burned by flares lack of appropriate infrastructures.

LNG, floating projects and power generation

The memorandum of understanding paves the way for LNG projects floating as well as to land-based liquefaction facilities. Les Discussions also focused on the production of electricity from gas and the deployment of industrial infrastructures fuelled by gas domestic, in a logic of substituting more polluting fuels and to support industrialization.

However, the MoU does not constitute a commitment of definitive investment. Its implementation remains subject to the carrying out conclusive technical and economic studies, upon signature formal contractual agreements and the mobilization of funding, including amounts have not been specified.