Tinubu Urges NLNG to Turn Gas Flaring Into Economic Gains

President Bola Tinubu has urged the Nigeria Liquefied Natural Gas Limited to reduce gas flaring and convert the country’s gas resources into greater economic benefits for Nigerians.

Tinubu made the call Wednesday at the State House in Abuja while receiving the NLNG board, led by its Managing Director and Chief Executive Officer, Adeleye Falade.

The president said NLNG’s focus should extend beyond increasing revenue from international markets to expanding domestic gas utilisation and ensuring Nigerians benefit from the country’s energy resources.

Tinubu said gas flaring should be treated as an environmental liability that can instead be converted into an economic asset, particularly through greater domestic utilisation and appropriate pricing mechanisms.

He commended NLNG for increasing its operational capacity and assured the company of his administration’s willingness to provide incentives needed to expand its operations and maximise its potential.

Falade told the president that NLNG has generated more than $150 billion since inception, with its shareholders, including the Nigerian government, receiving about $47 billion in dividends.

He said the company had previously operated at about 60% capacity because of low crude oil production, forcing it to operate four of its six available trains.

Falade said increased oil production has now enabled NLNG to raise its operating capacity to five trains, with further improvements expected.

He said the company was also preparing to inaugurate Train Seven, which is expected to increase its capacity by 35%.

According to him, NLNG currently accounts for about 5% of the global LNG market, while all its liquefied petroleum gas, commonly known as cooking gas, is currently directed to the domestic market.

Falade also said shareholders had commended the stability of Nigeria’s fiscal environment, which he said was attracting increased investment in the oil and gas sector.

He commended security agencies and regulators for contributing to the stability in the industry.

The NLNG chief further disclosed that the NLNG-financed Bonny-Bodo Road and Bridge project had been completed and was awaiting official commissioning.