We have not increased cooking gas price, says CEO

Attah, however, attributed the price hike by retailers to acute infrastructural challenges for discharging cooking gas nationwide.


Group Managing Director (GMD) of the Nigerian National Petroleum Corporation (NNPC), Maikanti Baru
(Financial Watch) 

Mr Tony Attah, the Managing Director and Chief Executive Officer, Nigerian Liquefied Natural Gas (NLNG) on Wednesday said the company has not increased the price of Liquefied Petroleum Gas (LPG),also known as cooking gas.

Attah stated this during the company’s presentation of “2017 Facts and Figures on NLNG’’ in Lagos.

Attah, however, attributed the price hike by retailers to acute infrastructural challenges for discharging cooking gas nationwide.

He said the only jetty available for discharging the product was in Lagos, adding that the additional costs of sending the product to different parts of the country was responsible for the hike in its price.

According to the Managing Director, it is ridiculous that what the NLNG produces in Bonny Island, we have to take to Lagos before bringing it back to Port Harcourt for usage.

Attah disclosed that the company was planning to rehabilitate the Calabar Jetty, in order to create another discharge point, apart from Lagos.

He said the company had worked with various International Oil Companies (IOCs) to reduce gas flaring from 65 per cent to less than 20 per cent by monetising the benefits.

The Managing Director said that the company had shipped 3,600 cargoes of Liquefied Natural Gas (LNG) to different parts of the world since its inception in 1995 to Dec. 2016.

“Nigeria is seen as the fastest developing country in terms of gas delivery.

“We receive gas from the offshore, clean it, store it and deliver to customers worldwide in liquid form.

“From inception till date, the company has reaped over 90billion dollars in revenue, 5.5 billion dollars in taxes and 13billion dollars in dividends for the Federal Government,’’ he said.

Attah said that at present, the management of the company was almost entirely indigenous, with only a few expatriates now working in the company.

He said the company was contributing immensely to the development of its host community by providing uninterrupted power supply to the area.

“Apart from this, the company ensures that it provides potable water, housing and education to the host community.

“At present, the company is working with the Federal Ministry of Works for the construction of the 39-km Bonny/Port Harcourt road.

“We have put down 50 per cent of the money which is N60billion, and we expect the Ministry to award the contract, this year.

“We are working towards making Bonny Island a mini Dubai by the year 2040 by contributing N3 billion annually for this project,’’ he added.