Stories by Peter Uzoho
The Director, Integrated Gas and New Energies, Shell Plc, Maarten Wetselaar, has said investing in the Nigeria Liquified Natural Gas (NLNG) Train 7 was his company’s long-term strategy and approach to capital investment.
He stated that natural gas was a core component of Shell strategy to provide more and cleaner energy solutions, pointing out that with global LNG demand expected to double by 2040, the expansion of the NLNG Bonny Island facility was crucial in helping the company meet the world’s growing energy needs.
He also said all conditions for the Final Investment Decision (FID) on the new LNG processing unit at NLNG had now been met, adding that these conditions included formal commitment from the organisations providing financing for the project.
The Engineering, Procurement and Construction (EPC) contracts of the project announced last week was sequel to the FID signed by the shareholders in December last year.
“While remaining mindful of prevailing macro-economic challenges, Shell continues to see NLNG as a great resource that can deliver value to the people of Nigeria and investors alike. This decision is consistent with our long-term strategy and our disciplined approach to capital investment,” Wetselaar said.
Also commenting on the Train 7 EPC contracts’ awards, the Country Chair, Shell Companies in Nigeria and Managing Director, Shell Petroleum Development Company (SPDC) Limited, Mr. Osagie Okunbor, expressed the oil giant’s delight with the progress made by the NLNG over the years and its enormous contributions to the Nigerian economy.
“The EPC awards for Train 7 is good news for Nigeria with the potential to bring more export revenues, unlock new projects, and attract foreign direct investments, in addition to transforming the economy of the Niger Delta and Nigeria as whole” Okunbor said.
According to him, Shell was positioned to support NLNG’s expansion by working with the government and other partners to develop new gas resources to sustain growth and enhance both domestic and export gas supplies.