The Nigeria Liquefied Natural Gas (NLNG) may lose its high ranking to growing competition, if urgent actions were not taken to address the sagging investment profile in the sector . . .
The Managing Director/ Chief Executive Officer of NLNG, Babs Omotowa, who made this declaration at a media luncheon organised by Petroleum Club in Lagos, said that “with no new investments, Nigeria will possibly drop from fourth to 10th position by 2020,”
Nigeria, with a production base of 19.4 million tonnes per annum (mtpa) is currently rated fourth in the global LNG scale after Qatar, Malaysia Australia.
He lamented that the sector has recorded less investment since 2007 till date, while firms continued to divest due to risks and uncertainties around the regulatory framework.
Other major issues impeding investment include poor joint venture funding, Production Sharing Contracts (PSC) challenges, delay in passage of Petroleum Industry Bill (PIB), Insecurity/bunkering and real capacity development in line with the Nigerian Content Development (NCD).