Tinubu Backs $5bn LNG Floating Project, Eyes 2026 Kickoff
Written by Teniola Akerele on July 5, 2023
President Bola Tinubu, on Wednesday, lent his support to the implementation of a $5bn floating Liquefied Natural Gas project planned to supply 40 per cent of the nation’s gas needs by Q4 2026.
Tinubu voiced his support for the project when he received a group of joint venture partners consisting of UTM FLNG, TECHNIP Energies and JGC Corporation at the Presidential Villa, Abuja.
Leader of the delegation and Group Managing Director of UTM FLNG, Julius Rone, disclosed this to State House Correspondents at the end of the meeting.
Rone also revealed that the multi-floating LNGs are being implemented with a $5bn loan from AFRIEXIM Bank.
This, he said, removes financing obstacles ahead of the 2026 kickoff.
He noted that Tinubu assured the ventures involved of his administration’s commitment to fully support the project because it aligns with his programme to revive the economy and provide more jobs.
“The President has assured us of his full support. And he has said that if we encounter any obstacle to the implementation of this project, we should not hesitate to report back to him through the Chief of Staff,” Rone explained.
The GMD revealed that, when completed, the plant would satisfy 40 per cent of Nigeria’s LPG needs by producing 300,000 tons annually. It will also provide 7,000 direct jobs for citizens, the GMD said.
He noted that this would be the first time in Nigeria that an indigenous company is involved in such a project that would help in decarbonisation.
According to him, it would be the first floating LNG project in Nigeria and is expected to come on stream in Q4 2026.