Page 12 - AfrOil Week 07 2020

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NLNG consolidates remarketing plans via 10-year deal with Galp Trading
NIGERIA
THE Nigeria LNG (NLNG) consortium has signed another long-term supply deal for remar- keted volumes of fuel from Trains 1, 2 and 3 of the its liquefaction plant on Bonny Island. e buyer is Galp Trading, an a liate of Portugal’s Galp Energia.
According to a statement from the consor- tium, the parties have signed a sales and pur- chase agreement (SPA). e document provides for NLNG to deliver of 1mn tonnes per year (tpy) of LNG to Galp Trading over a period of 10 years. e fuel will be supplied on a delivered ex-ship (DES) basis.
e nalisation of this SPA serves to consoli- date NLNG’s plans to remarket production from its rst three trains, the statement said. is, in turn, puts the group in a better position to pre- pare for the growth and consolidation that will occur as a consequence of the construction of a seventh production train, it said.
NLNG has also signed deals for remarketed LNG from Trains 1, 2 and 3 with Vitol (Switzer- land), Total (France) and Eni (Italy). Both Total
and Eni are shareholders in the consortium. e group said in a separate statement last month that the remarketing deals would sup- port its “drive to continue to deliver LNG glob- ally in consolidation of its position as one of the
top-ranking LNG suppliers in the world.” NLNG has been seeking to remarket future production from Trains 1, 2 and 3 because its existing contracts with Total, Naturgy (Spain), Galp (Portugal) and Botas (Turkey) are due to
expire in 2020.
ese contracts provide for the delivery of a
total of 2.67mn tpy of LNG.
ere are four shareholders in NLNG: Nige-
ria National Petroleum Corp. (NNPC), with 49%; Royal Dutch Shell (UK-Netherlands), with 25.6%; Total, with 15%, and Eni, with 10.4%. e partners recently made a nal investment decision (FID) on the construction of a seventh production train at the Bonny Island plant. When complete, Train 7 will raise the facility’s production capacity from its current level of 22.5mn tpy to 30mn tpy. ™
Trains 1 and 2 at NLNG’s Bonny Island plant (Photo: KBR)
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w w w. N E W S B A S E . c o m Week 07 19•February•2020