NNPCL advances talks with South Korean Consortium for Gas Projects in Nigeria

The Nigerian National Petroleum Company Limited (NNPC Ltd) has commenced discussions with a South Korean consortium led by Daewoo E & C to develop gas projects in Nigeria.

In a statement on Tuesday, Olufemi Soneye, Chief Corporate Communications Officer of NNPC Ltd, revealed that the discussions in Seoul, South Korea, were focused on strengthening NNPC Ltd’s commitment to tap into Nigeria’s abundant gas reserves and become a global supplier of clean and affordable energy.

South Korea, a major hub for Liquefied Natural Gas (LPG) exports, expressed interest in partnering with the consortium and the Korean Export-Import Bank. They aim to further explore investment discussions in greenfield projects and other gas development opportunities in Nigeria.

What NNPC is Saying

According to Soneye, the ongoing talks are expected to culminate in the formalization of a Memorandum of Understanding (MoU), facilitating strategic foreign direct investment. This initiative aligns with the policies of President Bola Ahmed Tinubu’s administration, which aims to make Nigeria an attractive destination for global investors.

The statement reads in part,

• “The Nigerian National Petroleum Company Limited (NNPC Ltd.) has held talks with a South Korean consortium led by Daewoo E & C on the development of gas projects in Nigeria.
• “The discussions held in Seoul, South Korea, yesterday were aimed at deepening NNPC Ltd.’s drive to tap into the nation’s vast gas resources to be a supplier of clean and affordable energy to the global market.
• “The talks will pave the way for the execution of a Memorandum of Understanding (MoU) that will unlock strategic foreign direct investment in line with the President Bola Ahmed Tinubu administration’s policy of making Nigeria a prime destination for global investors.”

More Insights

• Earlier, Mele Kyari, NNPC Ltd’s Group Chief Executive Officer, praised Temile Development Company, an indigenous gas sector participant, for inaugurating its state-of-the-art 23,000 cubic meters Liquefied Petroleum Gas (LPG) Carrier in Ulsan, South Korea, this Tuesday.
• Kyari emphasized that the vessel, named Alfred Temile 10, signified a significant stride towards enhancing gas utilization within the country and increasing gas revenues.
• “It is great that Temile Development Company can complete the construction of the 23kt LPG vessel. This will go a long way in improving access to LPG in the domestic market and providing cleaner fuel in our country,” Kyari stated.
• He emphasized the collaboration between NNPC Ltd and West Africa Gas Ltd (WAGL) in building vessels to enhance LPG supply in Nigeria, addressing the growing market demand.

Download Nairametrics App for breaking news and market intelligence.