Nigeria Liquefied Gas Limited To Concentrate Distribution of Gas to Domestic Market

The Nigeria Liquefied Gas Limited (LNG) has indicated its board of directors has approved the distribution of Liquefied Petroleum Gas (butane and propane) produced by the company, with a concentration of dispersal being the domestic market.

After supplying its first shipment three months ago, the NLNG disclosed that it has developed a plan to consistently  supply propane for usage in cooking gas blending as well as in agro-allied, autogas, power and petrochemical sectors of the Nigerian economy.

The NLNG further revealed the project was designed to support the federal government’s gas initiative and primarily create readily available LPG to the public.

The statement explained the NLNG is currently the highest single supplier of LPG into the domestic market, with an estimated 400,000 metric tonnes supplied in 2021.

 Dr Philip Mshelbila, Managing Director and Chief Executive Officer of  NLNG, stated the NLNG is strongly committed to the growth of the domestic LPG market and its passion to increase utilization of one of the most versatile energy sources in the world.

 His words; “Committing 100 per cent of our LPG supply is a major milestone in our journey of domestic gas supply. We supplied our first butane cargo into the domestic market in 2007, which helped to develop over the years the LPG industry in Nigeria from less than 50,000 tonnes to over 1 million tonnes market size annually by the end of 2020.

 “In 2021, we increased our LPG supply commitment from 350,000 metric tonnes (or 28 million 12.5kg cylinders) to actual delivery of 400,000 metric tonnes (or 32 million 12.5kg cylinders) thereby directing most of our production into the domestic market.

 “But this was not enough for NLNG, hence this commitment to do all that we possibly can and supply 100 per cent of our LPG production to the domestic market.”