NIPCO Group, a leading integrated energy and infrastructure provider in Nigeria with over two decades of operational experience, has announced that it is evaluating a proposed Floating Liquefied Natural Gas (FLNG) initiative.
The company is currently undertaking preliminary technical, commercial, and feasibility assessments ahead of a final investment decision.
Nagendra Verma, Managing Director and Chief Executive Officer of NIPCO Gas Ltd, announced the initiative in Abuja, stating that the proposed project marks the Group’s strategic entry into the LNG sector and reinforces its long-term commitment to developing and monetizing Nigeria’s abundant natural gas resources.
To underscore the magnitude of the project, a high-level corporate meeting was held in attendance of NIPCO Chairman Chief Bestman Anekwe, Group Executive Director Alhaji Abdulkadir Aminu, and Company Secretary Paul Chukwuma Obi, SAN.
The development represents a major capital investment currently estimated to exceed $3 billion.
The proposed facility is envisaged to be located either in the Escravos region of Delta State or in the Akwa Ibom region. Strategically positioned to facilitate access to upstream gas resources, processing, marine transportation, and international and domestic markets, the final site will be determined following the completion of ongoing feasibility studies.
The project is currently planned to achieve an LNG production capacity of approximately three million tonnes per annum, depending on project economics, regulatory approvals, and final investment decisions.
The comprehensive scope comprises the FLNG facility alongside associated marine and export infrastructure designed to serve both global export destinations and growing domestic energy demand.
Outlining the current development status, Verma explained that ongoing evaluations cover upstream gas supply and reserves, FLNG technology and configuration, logistics and shipping requirements, financial structuring, environmental compliance, and potential strategic and technical partnerships.
The Group expects to finalize the feasibility study over the coming months, after which the project’s exact configuration, financial requirements, and implementation schedule will be clearly defined.
The company leadership emphasized that all parameters, including production capacity and total investment value, remain subject to final regulatory approvals and the formal investment decision.