Nigeria LNG Ltd’s plant is producing at up to 68 per cent of its capacity due to theft of crude oil and vandalism of pipelines, among other problems .
Statistics from the firm indicates that the plant located in Bonny Island of Rivers State is producing at up to 68 per cent of its capacity due to theft of crude oil and vandalism of pipelines, among other problems.
According to NLNG Chief Executive Philip Mshelbila, theft and vandalism were gradually strangulating Nigeria’s oil and gas sector. “We have been producing in the last month at about between 60 to 68 per cent utilisation.
In other words, roughly 35 per cent of our capacity is empty,” Mshelbila disclosed at the ongoing Nigeria Oil and Gas Conference, NOG, in Abuja.
“There are many factors, but the biggest one of them is crude oil theft. If we don’t address this, we will not get out of this quagmire that we’re in.” Mshelbila said his company had stopped exports of liquefied petroleum gas for domestic use to meet demand from the local market.
Nigeria LNG is a consortium between state-run Nigerian National Petroleum Corporation, Eni, TotalEnergies and Shell with a capacity of 22 million tonnes per year.
Oriental News Nigeria reports that the NLNG has high ambitions for its latest project. “The long-awaited expansion will increase production capacity by 35 per cent from 22 million tons per annum, 22mtpa to 30mtpa and enhance NLNG’s competitiveness in the global market.”
