Gas scarcity to ease as NLNG vessel discharges

...NNPC, Sahara launch new vessels

The much awaited NLNG vessel -Gas Providence laden with 13,000MT of Liquefied Petroleum Gas (LPG) berthed and discharged the product at the NOJ Apapa, the situation that may ease the scarcity of the cooking gas in the nearest future.

Sources said the NLNG claimed that price of gas is now being denominated in dollars which is making it a bit high for marketers but the campany refutted any price increase on the product.

A distributor told Daily Trust that the current price of 20MT goes as follows NNPC LPG plant at Apapa -N5.3million ,NIPCO LPG plant - N5.4million ,Navgas - N5.5million for bulk buyers and N6million for third parties who buy from the bulk buyers .

The average selling price at virtually all the depots is N5.4million for 20MT as against less than N5million early December last year .

Source said the LPG product pricing is always guided by available product and may sometimes drop if the depot operator wants to create haulage since most of the LPG storage are small compared to present demand and coupled with the fact that LPG vessel cost a lot of money to charter with attendant high demurrage if not discharge on time to allow the vessel sail out.

Another scenario that may force down prices is continuous supply by NLNG through the coming of their vessels at least once in a fortnight; But LNG said it will sustain the supply momentum.

At the local market the average price of the 12.5 kg now goes for 5,000 compared to N3,400 early December, 2016.

Meanwhile the Nigeria LNG has said it has not increase the price of the product but the scarcity was due to the late berthing of the vessel that contained the product at the port due to congestion.

Meanwhile, the Nigerian National Petroleum Corporation (NNPC) is set to unveil two LPG vessels in Ulsan, South Korea today, Tuesday.

The West Africa Gas Ltd (WAGL), an NNPC JV Company and Sahara Energy will take delivery of the two vessels -Halls 8182 & 8183 -from renowned Korean ship building company, Hyundai Mipo Dockyard Ltd.

“This development promises to be a game changer in the supply network of LPG nationwide” NNPC said in its official twitter account on Monday.

Speaking at a Pre-Naming Ceremony Dinner held in Ulsan, S/Korea, the Group Managing Director of the NNPC Dr. Maikanti Baru said he was excited about the development

“I am delighted that this Joint Venture which was established in 2014 had started to record success within a short span,” Baru said.