NLNG is in talks with Seplat Energy to boost its gas supply, which has been disrupted by theft in the oil and gas sector. A preliminary deal would see Seplat supply over 150,000 tons of gas monthly—about 12% more than last year’s average. This marks only the second time NLNG will receive gas from a third party. Final technical and commercial details are being worked out, with gas deliveries expected to begin in the third quarter.
Seplat’s gas output has surged by 50% following its acquisition of assets from Exxon Mobil’s Nigerian subsidiary. The agreement with NLNG is expected to generate essential revenue for Seplat’s $700 million ANOH gas plant, which has remained inactive due to delays in completing a key east-west pipeline intended to transport its gas.
“This deal reflects a strategic alignment of needs and opportunities,” said Katlong Alex, an analyst at the African Energy Council. “It allows Seplat to navigate around infrastructure challenges, while also supporting NLNG in addressing its ongoing gas supply shortages.”According to Okon, the agreement is intended to be temporary until the pipeline becomes operational. NLNG has yet to comment on the development.
