Yemisi Izuora
The Nigeria Liquefied Natural Gas (NLNG) has said that effort is going on to raise domestic Liquefied Petroleum Gas, to 350,000 metric tons to ensure rising demand is met.
To further ease distribution difficulties, the company is investing about N150 million in upgrading three jetties in Lagos ?
Mr Tony Attah, Managing Director, NLNG during a visit to some LPG facilities in Lagos said the money would be used to support refurbishment and upgrading of the Petroleum Wharf Apapa (PWA), New Oil Jetty (NOJ) and Bulk Oil Platform (BOP) to increase cooking gas supply to domestic market.
He said that the management of NLNG decided to visit the facilities to take a look at the infrastructural challenges inhibiting the free flow of the product into the market, adding that the company is committed to the supply of 350,000 tonnes of cooking gas into the market, but currently supplying only 262,000 in 2016 because of these challenges.
Attah said there is enough volume for the market but infrastructural deficits posed supply and distribution challenges.
“NLNG will refurbish some of the jetties and upgrade them so that they can have more capacity to receive and operate optimally and safely. Once supply increases into the market it will reduce the ability of people to play foul and as part of NLNG’s constant advocacy on helping to build a better Nigeria, we are focusing on the supply of LPG,’’ he said.
According to him, We focus on energy, bringing energy into the country. But the future that we see is an industrialised aspect powered by LPG. In 2007, when there was a shortage of LPG in the market, NLNG intervened and we are glad to say that as a result of NLNG’s intervention volume consumed has scaled up to over 250,000 tonnage And we are looking to scale the volume up more as the company has set aside 350,000 tonnes for the market.
According to him, In the LPG industry, we see opportunities for business and partnerships. We will upgrade the jetties and open more avenues for the product will come in.
“Today, about 400,000 of LPG in the market is used largely for domestic purposes, but we have a vision that Nigeria’s industrialisation can be underpinned by gas.
“Our continuous advocacy in helping to build better Nigeria, we are focusing more on the supply of cooking gas.
In his remark, Mr Venkataraman Venkatapathy, the Group Managing Director, NIPCO Plc, said that the company has commenced construction of 5,000 metric tonnes LPG storage tank to boost domestic gas supply to the market.
Venkatapathy said that the tank which is the largest storage facility in African will improve access, facilitate gas evacuation across the nook and crannies of the country and quick turnaround of NLNG vessel.
He commended the management of the NLNG for playing a big role as the biggest producer of LPG to the domestic consumption.
According to him, we have an excellent relationship with off-takers who for obvious reasons (proximity to jetty, enduring LPG business operations, improved loading and weighing facilities to ensure the accuracy of product loaded.
“We thank NLNG for proving LPG receipt facilities in BOP follow by that in PWA, this will help for easy berthing of the vessels. Now NLNG vessels can pump simultaneously in two different pipelines to PPMC and another to NIPCO,’’ he said.
He said that the company has made effort in consumer education to increase awareness of the benefits of LPG and other forms of domestic fuel.
Mr Awalu Ilu, Chairman, Ultimate Gas Limited, commended NLNG for prompt product supply intervention to Lagos for market consumption, adding that before 2007 gas supply to the marketer had been a serious challenge.
Ilu urged the NLNG to assist in the expansion of the gas terminal in Lagos to boost supply to Lagos market, while appealing to the management of NLNG to increase supply of LPG to Lagos to crash price.