Shell takes NLNG Train 7 FID, EPC contracts signed

May 18, 2020
Shell Gas BV, a subsidiary of Royal Dutch Shell PLC, took final investment decision (FID) on Nigeria LNG’s (NLNG) 8-million tonne/year (tpy) Train 7 expansion.

Shell Gas BV, a subsidiary of Royal Dutch Shell PLC, took final investment decision (FID) on Nigeria LNG’s (NLNG) 8-million tonne/year (tpy) Train 7 expansion. Subsequent to the FID, NLNG awarded engineering, procurement, and construction (EPC) contracts to the SCD JV Consortium, comprising affiliates of Saipem, Chiyoda, and Daewoo.

Execution of the EPC contracts triggers the detail design and construction phase of the project, expected to increase the capacity of NLNG's current six-train plant by 35% to 30 million tpy. The company expects construction to last 5 years, with first LNG slated for 2025.

Train 7 will support the Nigerian federal government's drive to generate more revenue from Nigeria's proven gas reserves of about 200 tcf and further reduce gas flaring in the country's upstream oil and gas industry, NLNG said.

NLNG is an incorporated joint venture owned by the federal government of Nigeria, represented by Nigerian National Petroleum Corp. (NNPC, 49%), Shell Gas BV (25.6%), Total Gaz Electricite Holdings France (15%), and Eni International NA NV Sàrl (10.4%).