Page 15 - DMEA Week 47 2020
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DMEA LNG DMEA
Local content to account for at least
55% of work on NLNG’s Train 7
NIGERIA NIGERIA LNG (NLNG) intends to rely on local executive secretary was determined that Train 7
providers for at least 55% of the work that will be would not be shut down. He pushed hard to the
NLNG took a final done on the Train 7 expansion project, according extent that [the] contract was signed against all
investment decision on to Tony Attah, the managing director and CEO odds,” he commented.
the seventh train late of the consortium. Attah also pointed out that the expansion
last year. Speaking at a reception held by the Junior project would be a boon to the Nigerian econ-
Chambers International (JCI) earlier this week, omy. “Train 7 means 12,000 jobs directly and,
Attah said it made sense to maximise local con- based on the board’s calculation, 40,000 addi-
tent in the scheme, which calls for the construc- tional jobs indirectly,” he remarked.
tion of a seventh production train at NLNG’s He added: “On top of that, we are talking 55%
natural gas liquefaction plant on Bonny Island. of that scope will be domiciled and domesticated,
Nigerian companies and Nigerian workers have and Nigerians will be directly involved in more
improved their capacity and are able to handle than half of the scope of this particular project,
high-end technical projects such as this one, he and we are talking of over $10bn in terms of the
said. overall Train 7 investment.”
The NLNG chief also thanked the Nigeria NLNG was formed more than 20 years ago
Content Development and Monitoring Board and has been producing LNG since 1999. Equity
(NCDMB) for helping to push the Train 7 ini- in the consortium is split between state-owned
tiative forward and singled out the board’s Nigerian National Petroleum Corp. (NNPC),
executive secretary, Simbi Wabote, for praise. with 49%; Royal Dutch Shell (UK/Netherlands),
He said Wabote, who was the guest of honour with 25.6%; Total (France), with 15%, and Eni
at the JCI reception, had taken all the steps (Italy), with 10.4%.
needed to ensure the launch of the project in The group has already built six production
May of this year, at a time when the global oil trains with a combined production capacity of
and gas industry had scaled back its opera- 22.5mn tonnes per year at its gas liquefaction
tions in response to the fall in demand that plant. It took a final investment decision (FID)
had followed the coronavirus (COVID-19) late last year on the construction of the seventh
pandemic. production train, which will push total output
“[When] the contract was signed on May up to 30mn tpy. The new unit will add 4.2mn
13 this year, that was right in the middle of the tpy of new capacity, and the debottlenecking of
COVID-19 situation when the entire world was existing trains will contribute another 3.4mn
at a standstill ... The world was shut down, but the tpy.
Week 47 26•November•2020 www. NEWSBASE .com P15
