NNLG signs contract for Train 7 project

NLNG Train 7 18 mayNigeria LNG Limited (NLNG) has signed the engineering, procurement and construction (EPC) contracts for the Train 7 project

The contracts were signed with the SCD JV Consortium, comprising affiliates of Saipem, Chiyoda and Daewoo.

On completion, the project is expected to raise the plant’s current six-train capacity by 35 per cent, from the extant 22 MTPA to 30 MTPA as  well as support the Nigerian  government's drive to diversify its revenue portfolio and generate more revenue from Nigeria's proven gas reserves of about 200 tcf. 

More than 40,000 direct and indirect jobs will be available during construction. Around 55 per cent of the engineering activities will be carried out in Nigeria and 55 per cent of all procurements done by competent Nigerian vendors.

Saipem, a major contractor, said that the overall value of the contract was more than US$4bn. The construction period is expected to last approximately five years with first LNG rundown expected in 2025.

Timipre Sylva, junior minister petroleum resources, said, “The award of an EPC contract in the industry is welcome news anywhere in the world although it might mean more competition for industry operators. With the award of the EPC contracts, the construction phase of Train 7 can now commence in earnest.”

He further added, "It ultimately promises greater availability of cleaner energy necessary for the sustainability of the environment. It is therefore proper to thank the shareholders of NLNG for making this aspiration become reality’’.

Mele Kyari, group managing director of NNPC, admitted that the COVID-19 presented challenges  of disruptions but that the government is determined to go ahead with the project all the same-

Tony Attah, CEO of NLNG, said that the signing is another milestone in NLNG’s journey towards achieving its vision of being a global LNG company and in the process help in building a better Nigeria.

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