NLNG, Saipem, others sign contracts for Train 7 construction
Nigeria LNG Limited, on Wednesday, signed the engineering, procurement and construction contracts for its Train 7 project with SCD JV Consortium, comprising affiliates of Saipem of Italy, Japan’s Chiyoda and Daewoo of South Korea.
NLNG is an incorporated joint venture owned by the Federal Government of Nigeria, represented by Nigerian National Petroleum Corporation (49 percent), Shell Gas B.V. (25.6 percent), Total Gaz Electricite Holdings France (15 percent), and Eni International N.A. N.V. S.àr.l (10.4 percent).
According to the firm, the execution of the EPC contracts now triggers the commencement of the detail design and construction phase of the project expected to increase the capacity of NLNG’s current six-train plant by 35 per cent from 22 million tonnes per annum to 30 MTPA.
The Managing Director and Chief Executive Officer, NLNG, Mr Tony Attah, said the EPC contracts represented yet another milestone in NLNG’s journey towards achieving its vision of being a global LNG company, helping to build a better Nigeria.
He said, “With the award of the EPC contracts to our preferred bidders (SCD JV), we are guaranteeing that our country remains significantly on the global list of LNG suppliers.
“This singular act clearly demonstrates our shareholders’ determination and resolve to sustain the economic dividends that NLNG’s monetisation of our vast natural gas reserves offers our great country Nigeria.”
The Group Managing Director, NNPC, Mr Mele Kyari, said the NLNG’s successes since it started operation in 1999 continued to prove that the “company operates a unique business model that is profitable to all its stakeholders.”
He said, “NNPC and the other shareholders — Shell, Total and Eni — are proud to be a part of this exceptional Nigerian brand that stands out in the global market.
“I encourage every stakeholder involved in execution of the Train 7 project, especially the SCD JV Consortium, NLNG Train 7 Project Team and the company’s management to leave no stone unturned in making this project a reality.”
The NLNG said the project, when completed, would support the Federal Government’s drive to generate more revenue from Nigeria’s proven gas reserves of about 200 trillion cubic feet and further reduce gas flaring in the country’s upstream oil and gas industry.
The construction period is expected to last about five years with first LNG rundown expected in 2025, according to a statement.
