NNPC pledges improved domestic circulation of LPG

…about 233 companies make up bidding list

Micheal Ajayi

The Nigerian National Petroleum Corporation (NNPC) says that the domestic supply of Liquefied Petroleum Gas (LPG) also known as cooking gas would be increased.

The Group Managing Director, Dr Maikanti Baru, gave the assurance at the 2019 Natural Gas Liquids Bid opening at the NNPC tower in Abuja.

“This time around, we are not only focused on lifting and sending it out, but we are also focusing on maximum value within the nation, in other words, we want to use this kind of transaction to propel the LPG market throughout the nation to the level it deserves” he said.

Represented by Chief Operating Officer, Saidu Mohammed, Gas and Power, Baru said the planned increase in the supply of cooking gas would be driven by its current initiative of undertaking transparent competitive bidding and evaluation process to select off-takers for the commodity.

“Most importantly, we want to that transparently to ensure that we get the right partners that would have the calibre we need in terms of investments, capital layout and market ability to penetrate the nooks and crannies of this country”, he said.

The only way to penetrate is to, first of all, make the products available; afterwards, people would come and invest in it by way of storing, transporting and distributing it,

However about 233 local and foreign companies have submitted bids to be engaged by the NNPC to be take part in the circulation of Natural Gas Liquids (NGLs).

According to the cooperation’s Managing Director, successful companies will be given the contract to lift NNPC’s equity share of NGLs for the next two years.

He, however, assures that the selection will be transparent as the corporation works towards ensuring the continuous growth of the domestic supply and utilization of gas.

“Through a transparent competitive bidding and evaluation process, we intend to enlist companies with proven investments in Gas Utilization, storage, distribution and marketing infrastructure”, he said.