Nigeria Takes Two Steps Closer to Boosting Natural Gas Production with FLNG Projects
Two major FLNG (Floating Liquefied Natural Gas) projects in Nigeria are moving forward, poised to unlock stranded gas resources and potentially improve the country’s energy security and export potential. Here’s a breakdown of the key details:
Partnerships and Plans:
- Wison New Energies:Â Leads the design and engineering for both projects, leveraging their expertise in FLNG EPCIC (Engineering, Procurement, Construction, and Commissioning).
- Ace Gas and Transoceanic Gas and Power: Each partnered with Wison New Energies for individual projects – Ace Gas offshore Escravos and Transoceanic offshore Pennington.
- Project Scope:
- Transoceanic’s project:
- Produces 500 million cubic feet per day of stranded gas from OML 289 and other fields.
- Generates 150,000 tpy of LPG for domestic use, 25,000 bpd of condensates, and 75,000 tpy of propane.
- Features a floating power barge with initial capacity of 250 MW, expandable to over 1 GW for domestic power needs.
- Ace Gas’s project:
- Utilizes gas from four blocks surrounding OML 109 (Odimodi, Osuopele, and Gwatto marginal fields).
- Also incorporates a floating power barge plan.
- Transoceanic’s project:
Key Players and Investments:
- Samsung Heavy Industry:Â Handles upstream facilities for Transoceanic’s project.
- Siemens Energy:Â Involved in power and compression aspects of Transoceanic’s project.
- Vitol, Socar, and Karpowership:Â Signed as gas offtakers for Transoceanic’s project.
- Unnamed private equity backers and Quantum Suisse:Â Provide financial support for Transoceanic’s project.
Potential Benefits:
- Unlocking Stranded Gas:Â Both projects will monetize currently inaccessible gas resources, boosting overall natural gas production.
- Domestic Energy Boost:Â LPG and power generation components within the projects aim to address domestic energy needs.
- Export Potential:Â Liquefied natural gas production from these projects can significantly contribute to Nigeria’s energy exports.
- Economic Growth:Â Project development and operation are expected to create jobs and stimulate local economic activity