NNPC, Axxela sign EPCC deal on small-scale Nigerian LNG plant: press
Nigeria's national oil company NNPC has signed an engineering, procurement, construction and commissioning contract with Lagos-based gas infrastructure developer Axxela on developing a small-scale LNG plant in Ajoakuta, in Nigeria's Kogi state, according to local press.
The deal was signed by NNPC's subsidiary Nigerian Gas Marketing Co. and Axxela's Transit Gas Nigeria unit on December 3. The plant will initially handle 5mn ft3/day of gas, though its capacity will ramp up to 20mn ft3/d at a later stage.
Transit Gas Nigeria said in a statement carried by the Nigerian press that the plant would deliver gas to stranded industrial and commercial energy users in the area that currently rely on diesel and similar fuels for their needs.
Under its Decade of Gas initiative, Nigeria is looking to develop more of its estimated 5.5 trillion m3 of proven gas reserves to drive economic growth and cut emissions by replacing dirtier fuels in areas such as power generation, transport and household cooking. The country has positioned gas in the centre of efforts to reach net-zero emissions by 2060.