NLNG assures gas production continues, warns consumers against product hoarding

*Andy Odeh, General Manager, External Relations and Sustainable Development at Nigeria Liquefied and Natural Gas,  reiterates the company is producing LPG for the domestic market, assuring situation will improve in few weeks

Isola Moses | ConsumerConnect

Sequel to the ravaging floods affecting about 22 states of the Federation, the Nigeria Liquefied and Natural Gas (NLNG) Limited has allayed fears of cooking gas scarcity and price hike in the country.

ConsumerConnect reports  the NLNG has noted its recent declaration of ‘force majeure’ in its area of operations was informed by the flooding affecting the country, the situation which the gas company explained has disrupted gas supply chain in the economy.

Cooking Gas cylinders

Andy Odeh, General Manager, External Relations and Sustainable Development at NLNG, stated this while featuring on a Channels TV programme Monday, October 24, 2022.

Odeh said: “We don’t determine the price of gas as a company.

“However, I know the fears and concerns out there, but I think it is important to reiterate that we are producing LPG (Liquefied Petroleum Gas) which is the cooking gas into the domestic market.”

The NLNG General Manager also explained: “Only last week, the only dedicated LPG vessel left the Bonny facility to deliver into Lagos.

“Will this affect the price of cooking gas? No it shouldn’t.

“I think to an extent the National Association of LPG Marketers has also gone out to assure the public that there is no need to panic buy, there is no need to stock or store cylinders in our homes because of fear or concern that there will be scarcity.”

ConsumerConnect had reported the Gas Association had urged Nigerian consumers to not panic over the company’s force majeure.

Force majeure, a common clause in contracts, essentially frees both parties from liability or obligation when a circumstance beyond the control of the parties like war, crime, epidemic or sudden legal changes prevents one or both parties from fulfilling their obligations under the contract.

The NLNG recent notice on the effect of floods on its operations has caused panic among the consumers of Liquefied Petroleum Gas, also known as Cooking Gas, according to report.

Several consumers reportedly, have feared there could be scarcity of the vital commodity in view of the NLNG declaration.

NLNG assures of improved situation but ….

Meanwhile, in respect of the time things are expected to return to normal in the gas subsector, Odeh acknowledged that weather is unpredictable.

He, however, assured Nigerians that things would get better in the next few weeks.

He said: “As you know this is all about flooding, I will say it is difficult to predict the weather.

“When water recedes and this we expect will happen by the upstream suppliers but again I think at this point safety of people who work on those sites and of course safety of assets in those facilities are paramount.

The General Manager added: “In the coming weeks we will continue to monitor the situation.

“In terms of timeline, we are looking at next few weeks, confirmation is that as we speak the water is no more rising, so in the next two to three weeks we expect it to recede.”

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