The European Union has expressed its commitment to receiving higher liquefied natural gas (LNG) exports from Nigeria in the short to medium term.
This is according to a statement made by Kadri Samson, the EU Commissioner for Energy in Nigeria, during her visit to NLNG Bonny Plant in Rivers state over the weekend.
During the visit, she commended Nigeria Liquefied Natural Gas Limited for its work as the major LNG supplier on the continent and assured of the EU’s commitment to receiving more LNG from Nigeria. She said:
- “EU is accelerating its energy transition, but we also need to reinforce our ties with reliable LNG partners like Nigeria in the short-term horizon. This helps us to bridge part of the gap left by former Russian imports while we gradually transition away from fossil fuels.
- “Nigeria has proven to be a reliable partner, and last year (2022), 9.4 bcm of LNG was exported from Nigeria to the E.U. But there is potential to do more – between now and 2027.”
Meanwhile, Dr. Philip Mshelbila, the Managing Director of NLNG, said:
- “Our commitment to harnessing the immense potential of natural gas will not only restore Nigeria’s reputation as a major energy powerhouse but also propel us towards a cleaner, greener future. With innovation, a collaboration by stakeholders, including the government and investors, especially from Europe, and unwavering determination, we can shape the energy landscape of tomorrow, create more opportunities for gas supply globally, drive economic prosperity, create jobs, and mitigate environmental challenges through the gas.”
Also note that Nigeria made it to the seventh spot on the list of the top 20 global LNG exporters for 2022, with 14.7 metric tons of LNG, according to the World LNG report from the International Gas Union (IGU). The 2022 report noted that Australia, the United States of America, Qatar, Russia, Malaysia, and Indonesia placed first to sixth before Nigeria.
A 159% y-o-y rise in EU LNG imports
According to the October 2023 Global Gas report from the International Gas Union (IGU), Nigeria, Qatar, and Russia will be the three next dominant liquefied natural gas (LNG) exporters to Europe after the United States of America. The Global Gas report also noted that Europe is strengthening its partnerships with certain countries to meet its growing demand for liquefied natural gas (LNG).
The report highlighted the fact that in 2022, Europe saw a significant increase in LNG imports, rising from 74 million tons in 2021 to 124 million tons, a nearly 68% jump. To fulfill this surging demand, a consortium of major LNG exporters stepped up, with the United States taking the lead by boosting its LNG exports to Europe by over 30 million tons from 2021 to 2022.
This remarkable increase amounts to a staggering 159% year-on-year rise in LNG exports. Europe’s commitment to these partnerships reflects its desire to secure a stable supply of LNG as its appetite for this energy source continues to grow.