Due to theft of crude oil and pipeline vandalism, among other issues, the Nigeria LNG Ltd. plant is operating at up to 68% of its capacity.
According to statistics provided by the company, among other issues, theft of crude oil and pipeline vandalism have caused the Bonny Island plant in Rivers State to produce at up to 68% of its potential.
The theft and vandalism, according to Philip Mshelbila, Chief Executive Officer of NLNG, were slowly choking off Nigeria’s oil and gas industry. In the past month, we have been operating at a production efficiency of roughly 60 to 68%.
Therefore, about 35% of our capacity is unoccupied, Mshelbila said at the Nigeria Oil and Gas Conference (NOG), which is currently taking place in Abuja.
“Crude oil theft is the main contributing factor, but there are many others. We will not be able to escape this mess if we don’t deal with this. In order to meet the demand from the local market, Mshelbila claimed that his company had stopped exporting liquefied petroleum gas for domestic use.
With a capacity of 22 million tonnes annually, Nigeria LNG is a partnership between the Nigerian National Petroleum Corporation, a state-run company, Eni, TotalEnergies, and Shell.
The NLNG is said to have high expectations for its most recent project, according to Oriental News Nigeria. The eagerly anticipated expansion “will boost NLNG’s competitiveness in the global market and increase production capacity by 35% from 22 million tonnes per year, 22mtpa, to 30mtpa.”
