The Department of Petroleum Resources (DPR) has issued licence to establish the first floating liquefied natural gas (LNG) production plant to UTM Offshore Limited, a private Nigerian oil and gas company.
A statement by the head of public affairs of DPR, Paul Osu, confirmed the licence was issued to the company at the DPR headquarters in Abuja on Monday.
While presenting the licence, Sarki Auwalu, director of DPR, noted the company will build a plant with the capacity for processing 176 million cubic feet of gas per day (MMcfd) of natural gas and condensate.
He added the licence was a demonstration of the federal government’s commitment to harness safe and reliable technology for the development of the oil and gas industry.
He explained that this is to ensure that companies come to Nigeria and do business in an equitable way to stimulate the economy and create jobs for Nigerians.
Auwalu assured that the DPR would continue to create opportunities for companies by providing the regulatory tools of licences, permits and approvals for investors.
Responding to the gesture, Julius Rone, managing director of UTM Offshore Limited, promised to abide with the terms of issuance within the 24 months validity period of the LTE from the date of issue.