NNPC subsidiary, GACN, issues gas purchase order to Axxela, NGMC

The Nigerian Gas Marketing Company (NGMC) has been issued a Gas Purchase Order (GPO) by the Gas Aggregation Company of Nigeria (GACN) for the development of a Liquefied Natural Gas (LNG) plant in Ajaokuta, Kogi State.

The project is a Joint Venture partnership with Transit Gas Nigeria Limited, a subsidiary of Axxela Limited, sub-Saharan Africa’s preferred fast growing gas and power portfolio company, a statement from Axxela said.

With gas supply assured, the GPO is a project milestone which will help ensure that commercial and industrial businesses across Nigeria that adopt the LNG solution for their power or process needs achieved over 40 percent in cost-savings compared to alternative fuels i.e. diesel.

The liquefaction plant is strategically located in the middle of the country to enable easy access of the LNG trucks to the Northern region’s stranded gas market and other parts of the country.

LNG storage facilities will also be installed at customer locations to ensure continuous gas supply. Natural gas – predominantly methane – is an environmentally friendly fuel that burns cleaner than other fossil fuels.

SOURCE: dailytrust