Tag: Oil

Nigerian oil tycoon Abdulrahman Bashar
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$40 million fuel debt puts Nigerian oil tycoon Abdulrahman Bashar’s assets at risk

Abdulrahman Bashar faces asset seizures in Nigeria over more than $40 million in unpaid fuel-related obligations.

Omokolade Ajayi Omokolade Ajayi
Dangote Refinery gasoline storage tank with 60 million liters capacity under Dangote Industries Limited operations in Nigeria.
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Nigeria’s refined petroleum exports surge 148% to nearly $4 billion in Q2

Nigeria’s refined petroleum exports surge 148% to nearly $4 billion in Q2

Omokolade Ajayi Omokolade Ajayi
Nigeria LNG Ltd. (NLNG) plans to start operations at its $10 billion Train 7 project by the end of 2027, as the liquefied natural gas producer works to expand output and address persistent constraints on gas supply. Managing Director Adeleye Falade disclosed the target to reporters on the sidelines of the Gastech conference in Bangkok. The project, located on Bonny Island in Nigeria, is designed to increase NLNG’s production capacity to 30 million metric tons a year from 22 million metric tons. Train 7 has faced repeated delays, including setbacks linked to the COVID-19 pandemic and the war in Ukraine. The latest target puts the project on a path toward completion as Nigeria seeks to increase its LNG production capacity. Gas supply remains key constraint NLNG remains under a force majeure declared in 2022 after widespread flooding disrupted its gas supply, Falade said at the conference. The company expects to lift the force majeure once plant utilization reaches 90 percent. NLNG is currently operating at between 82 percent and 83 percent utilization, according to Falade. “We still have a delta of about 15 percent that we need to close,” he said. “Operationally, we are able to do that, but our biggest constraint is gas supply, and we're working with all the relevant people, including the government, to be able to get more gas to flow into the plant.” The comments highlight the importance of securing additional feed gas as NLNG works to raise production and meet its existing commitments. The company is focused on fulfilling its contractual obligations to buyers while seeking to maximize available production, Falade said. Buyers seek more LNG Interest in additional LNG volumes and spot cargoes has increased following disruptions to exports through the Strait of Hormuz during the Iran war, Falade said. “People are looking at more diversified, reliable sources of supply,” he said. The increased interest comes as buyers seek alternative sources of LNG amid disruptions affecting established supply routes. For NLNG, the priority remains its existing customer commitments while making use of additional production capacity where available. “Our priority currently is to continue to make sure that we fulfil our obligations to our existing customers and maximize as much production opportunity as possible that we have,” Falade said. Ownership and expansion NLNG is majority-owned by the Nigerian National Petroleum Company, with foreign partners including Shell, TotalEnergies and Eni. The Train 7 expansion is expected to raise the company’s nameplate capacity by 8 million metric tons a year, taking total capacity from 22 million metric tons to 30 million metric tons. For NLNG, the expansion comes alongside efforts to improve utilization at its existing facilities. The company’s ability to increase output remains tied to the availability of sufficient gas supplies, according to Falade. The end-2027 startup target therefore places both the completion of Train 7 and continued improvement in gas supply at the center of NLNG’s plans to increase LNG production.
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Nigeria’s crude oil output hits 6-year high at 1.56M bpd, beats OPEC quota

Nigeria's crude output rose to a six-year high of 1.56 million barrels per day in June, exceeding its OPEC quota despite weaker NNPC revenue in May.

Omokolade Ajayi Omokolade Ajayi
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Egypt to pay $1.3 billion in oil company arrears by June amid energy crunch

Egypt plans $1.3 billion arrears payment to international oil firms by June, easing energy strains and boosting investor confidence.

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