Neoleum Energy announces the issuance of a 20-year Gas Purchase Order (GPO) for the development of a Mini-Floating Liquefied Natural Gas (FLNG) Plant in Nigeria. This landmark achievement positions Neoleum Energy as a key player in unlocking Nigeria's vast offshore gas resources and spearheading sustainable energy solutions in the region.
The Gas Purchase Order, which stipulates gas supply from a Nigerian National Petroleum Corporation Joint Venture with an International Oil Company (NNPC JV) subject to a Gas Sales and Aggregation Agreement (GSAA), demonstrates the trust and confidence placed in Neoleum Energy's capabilities and expertise, along with its esteemed technical partners. This gas supply solidifies the foundation for the development of the FLNG project, and ensures a secure and reliable supply of natural gas to areas beyond the reach of the existing pipeline grid.
To be situated offshore Nigeria, the Mini-FLNG facility will leverage the confirmed gas supply availability from the NNPC JV to enable the liquefaction process and facilitate the production of Liquefied Natural Gas (LNG). The project's strategic location ensures convenient access to offshore gas resources, thereby promoting increased energy production and fostering economic growth in the region.
Neoleum Energy's Mini-FLNG project marks a significant milestone in Nigeria's dynamic energy landscape. By harnessing the gas supply from the NNPC JV, the project will enhance the nation's energy security and promote cleaner and more sustainable fuel alternatives. The FLNG facility will produce LNG, a cleaner-burning fuel that substantially reduces greenhouse gas emissions compared to traditional fossil fuels, catering to both the local and regional markets.
This represents the first crucial step towards executing necessary agreements and securing regulatory approvals, paving the way for the development of the Mini-FLNG project. This transformative endeavor will bolster Nigeria's energy infrastructure and generate new employment opportunities for the local community. Neoleum Energy remains fully committed to upholding the highest standards of safety, environmental stewardship, and social responsibility throughout the project's development and operation, with production expected to commence by 2026.
Neoleum Energy continues to explore similar FLNG projects across Africa, further propelling the energy sector and contributing to sustainable development goals.