Why FG is supporting $5bn floating LNG – Tinubu

Why FG is supporting $5bn floating LNG – Tinubu

President Bola Tinubu says the Federal Government will support the development of the country’s first floating liquefied natural gas facility.

Tinubu announced the support when he received a group of joint venture (JV) partners, led by Julius Rone, group managing director of UTM FLNG, at the presidential villa, Abuja.

The delegates were accompanied by Emmanuella Blatmann, ambassador of France to Nigeria, and Hiromi Otuski, deputy ambassador for Japan to Nigeria.

UTM FLNG Limited is a subsidiary of UTM Offshore Ltd, a special-purpose vehicle created to actualise the project.

The $5bn FLNG project is expected to create 7,000 jobs and will commence in the fourth quarter (Q4) of 2026.

Speaking to journalists after the meeting, Rone said Tinubu directed them to contact him through Femi Gbajabiamila, his chief of staff, if they experienced any obstacles that might threaten the project’s completion deadline.

He said, “We are developing the first floating LNG in Nigeria in conjunction with the Nigeria National Petroleum Company (NNPC).

“This is the first time an indigenous company from Africa is taking on such projects. We have just gotten one of the best days in our transaction.”

Rone also said, “When completed in Q4 2026, the facility will produce, on an annual basis, 1.5 million tonnes of LNG for export; 300,000 metric tonnes of LPG for domestic market (DLPG), and some quantities of condensate.”