Nigeria LNG Limited on Wednesday made a significant step toward the Final Investment Decision (FID) for its Train 7 Project.
This followed the issuance of a Letter of Intent for the Engineering, Procurement and Construction (EPC) contract of the project to SCD JV Consortium.
Mrs Eyono Fatayi-Williams, the company’s General Manager, External Relations, said in Lagos that the contract letter was issued recently in Abuja.
The SCD JV Consortium is made up of Saipem of Italy, Japan’s Chiyoda and Daewoo of South Korea.
Fatayi-Williams said the issuance was coming on the heels of the Nigeria Content (NC) plan signed with the Nigerian Content Development Monitoring Board (NCDMB).
She said this also tilted on the Sept. 3 NLNG,’s submission of the summary outcome of the commercial bids evaluation for the “Train 7 Project’’ to NCDMB in line with the project certification and authorisation procedure.
According to her, the letter of intent is one of the significant step toward the realisation of “Train 7’’ and its attendant value to NLNG’s shareholders and for the benefit of the Nigerian economy.
Fatayi-Williams said the contracting process was transparent and in full compliance with all applicable laws and good industry practices.
She said that it would continue to operate its business in an open manner consistent with its core values of integrity and excellence.
Fatayi-Williams said the “Train 7 Project’’ was expected to ramp up NLNG’s production capacity by 35 per cent from 22 million Tonnes per Annum (MTPA) to around 30 MTPA.
She said the project would form part of investment of over 10 billion dollars, including the upstream scope of the LNG value chain, thereby boosting the much needed Foreign Direct Investment (FDI) profile of Nigeria.
“The project is anticipated to create about 10,000 new jobs during the construction stage, and on completion, help to further diversify the revenue portfolio of the Federal Government and increase its tax base.
She said that this was in line with its corporate vision of “Helping to build a better Nigeria”, adding that the construction period after FID will last approximately four to five years.
Fatayi-Williams said that the actualisation of the “Train 7 Project’’ comes as NLNG celebrates 30 years of its incorporation and 20 years since exporting its first LNG cargo in 1999.
NLNG is owned by four Shareholders: the Federal Government of Nigeria, represented by Nigerian National Petroleum Corporation (49 per cent), Shell Gas B.V. (25.6 per cent), Total Gaz Electricite Holdings France (15 per cent), and Eni International N.A. N. V. S.àr. l (10.4 per cent ).
