Register with us today

and in less than 60 seconds continue your access to:Latest news headlinesAnalytical topics and featuresCommodities videos, podcast & blogsSample market prices & dataSpecial reportsSubscriber notes & daily commodity email alerts

Already have an account?

Log in to register

Forgot Password

Please Note: Platts Market Center subscribers can only reset passwords via the Platts Market Center

Enter your Email ID below and we will send you an email with your password.


  • Email Address* Please enter email address.

If you are a premium subscriber, we are unable to send you your password for security reasons. Please contact the Client Services team.

If you are a Platts Market Center subscriber, to reset your password go to the Platts Market Center to reset your password.

In this list
Natural Gas

Nigeria LNG says global market share slips as Bonny expansion stalls

Agriculture | Energy | Coal | Electric Power | LNG | Natural Gas | Oil | Metals | Steel | Petrochemicals | Shipping

Commodities 2020

LNG | Natural Gas | NGL

Platts LNG Alert

Capital Markets | Commodities | Electricity | Energy | LNG | Natural Gas | Shipping | Leveraged Finance & High Yield | Materials | Building & Construction | Financial Services | Banking | Infrastructure | Structured Finance

Infrastructure Summit

Natural Gas | Oil | Crude Oil

Libya's El Feel oil field shut again, causing 73,000 b/d loss, says NOC

Nigeria LNG says global market share slips as Bonny expansion stalls

Highlights

Nigeria LNG Ltd Wednesday said it was gradually losing global LNG market share due to a delay in the expansion of the six train Bonny LNG plant in the Niger Delta.

Not registered?

Receive daily email alerts, subscriber notes & personalize your experience.

Register Now

The Bonny plant produces 22 million mt/year of LNG, but plans to build a seventh train and increase output to 30 million mt/year, initially from 2010, have failed to materialize.

"NLNG used to be the 10th-largest supplier but it is gradually losing the market to international competitors who have continued to expand their businesses. It is therefore imperative that NLNG increases its production in order not to lose more market share," the company's general manager in charge of production, Chima Isilebo, said in a statement.


NNPC holds a 49% interest in the Bonny plant alongside Shell (25.6%), Total (15%) and Eni (10.4%).

The delay in building the seventh train has cost Nigeria $2.5 billion/year in potential revenue, as well as the opportunity to further reduce gas flared from oil fields in the Niger Delta, NLNG Managing Director Babs Omtowa said in January.

The Bonny LNG plant currently processes over 4 Tcf/year of associated gas that would have been flared into export gas and for domestic consumption, Omtowa said at the time.

The project's owners have continued to postpone making a final investment decision on the seventh line even though export contracts have been already been signed with potential buyers in Japan, China, India and Malaysia.

While no official reason has been given for the delay, industry sources have attributed it to Nigeria's current focus on providing gas to the domestic market over exports, security challenges and delays in the passing of a petroleum industry bill that is holding back several projects.

--Staff, newsdesk@platts.com
--Edited by Wendy Wells, wendy.wells@platts.com

Similar stories appear in LNG Daily See more information at http://www.platts.com/Products/lngdaily