Hydrogen Poses Threat to Gas: NLNG

Hydrogen poses a threat to natural gas, the CEO of Nigerian LNG exporter Tony Attah said in an online session on December 8, calling on Nigeria to make greater efforts to monetise its gas resources.

"There is a threat on its way. A lot of people are talking about hydrogen today, but it is a major competitor for gas in Nigeria," he said in a speech. 

Hydrogen can be produced from gas through processes such as methane reforming, but many countries are instead prioritising the development of hydrogen from water, using electrolysers powered by renewable energy. The fuel could prevent Nigeria from maximising its gas potential if it takes centre stage in the energy transition, Attah said. 

NLNG's shareholders are state-owned Nigerian National Petroleum (NNPC), Shell, Total and Eni. They operate Nigeria's only active LNG terminal, with a capacity of 22mn metric tons/year. The consortium took a final investment decision last year on adding a seventh train and undertaking other upgrades that will raise output to 30mn mt/yr in 2024.

 Attah spoke at length of the environmental and economic benefits of greater gas use in Nigeria, while also stressing that the country needed to expand its LNG exports.