Nigeria’s UTM secures gas supply deal, clears key hurdle to $3 billion LNG project

Nigeria's UTM Offshore said on Tuesday it had secured a 15-year gas supply agreement, removing a ​major obstacle to a final investment decision on its $3 ‌billion floating liquefied natural gas (FLNG) project, now expected in the fourth quarter after delays.

The project, in which NNPC holds a 20% stake, UTM Offshore 72% and Delta state government 8%, received Nigeria's ​first licence for ​a floating LNG ⁠export facility in 2024 as the government seeks to monetise large volumes of stranded gas reserves ​and expand LNG exports.

Rone ​said the agreement would provide certainty for investors, lenders and LNG buyers and ‌position ⁠the project for a final investment decision in the fourth quarter of 2026.