Oando to sell gas to power plants

Group Chief Executive of Oando PLC, Mr. Wale Tinubu

Oando Gas & Power Limited, a fully-owned entity of Oando Plc, has announced the commencement of the development of a mini Liquefied Natural Gas facility through its Transit Gas Nigeria Limited subsidiary in Ajaokuta, Kogi State.

According to the company, the 20 million standard cubic feet per day liquefaction plant is primarily directed towards fulfilling the gas supply requirement for captive power plants, embedded generation and industrial clusters in the northern region, as well as stranded customers in the South.

Off-takers, particularly, power plants and industrial customers who currently utilise liquid fuels such as diesel and LPFO, it noted, would be able to lower energy costs by up to 40 per cent, while significantly decreasing carbon emissions.

Commenting on the initiative, the Chief Executive Officer, OGP, Mr. Bolaji Osunsanya, said, “The establishment of the Ajaokuta mini LNG project is in firm alignment with our mid-to-long term gas conversion strategy. This venture further emphasises our push to broaden our asset portfolio and strengthen our market play within the gas sector; and by providing the gas advantage, we will help spur the development of self-sustaining industrial clusters to bolster the country’s socio-economic growth.”