Nigerian LNG expansion to include ECA financing

(The Nation, Lagos, 20 January 2020) The Nigeria Liquefied Natural Gas Limited (NLNG) has appointed one of Japan’s leading banks and the core unit of Sumitomo Mitsui Financial Group – Sumitomo Mitsui Banking Corporation (SMBC) and one of Nigeria’s leading banks – Guaranty Trust Bank Plc, as financial advisers for the Train 7 LNG processing project estimated to cost between $10 billion and $12 billion. The Train 7 project will be financed partly from NLNG balance sheet and partly through third party corporate loans from Export Credit Agencies and a number of key International and local banks. Discussions on these financial deals are ongoing. Barring unforeseen circumstances, Train 7 is expected to be completed within five years from start of construction. On completion, it will increase the company’s production capacity at its plant on Bonny Island, Finima, Rivers State from 22 million metric tonnes to 30 million metric tonnes per annum. Nigeria LNG is owned by four shareholders – the Federal Government represented by NNPC (49 per cent); Shell (25.6 per cent); Total Gaz Electricite Holdings France (15 per cent) and Eni International N.A. N.V. S.àr.l (10.4 per cent).