Indigenous oil and gas company, UTM Offshore, has commenced the development of its 176 million cubic feet per day Liquefied Natural Gas (LNG) floating plant with the Pre-Front End Engineering Design (Pre-FEED) contract for the facility scheduled to be signed today, 11th May 2021, between the Nigerian firm and its foreign contractors, JGC Holdings Corporation.
The signing ceremony will be done virtually in the commercial hub of Nigeria, Lagos state. The Company is to also sign a contract with a U.S-based Engineering, Procurement and Construction (EPC) company, Kellog Brown & Root – KBR, as owner’s engineer, to carry out a third-party review of the Pre-FEED deliverables from JGC on its behalf.
In February, the Department of Petroleum Resources (DPR) issued Licence-to-Establish (LTE) for the first floating LNG production plant for the processing of 176 million cubic feet per day of natural gas and condensate to UTM Offshore Limited.
During the presentation of the license to UTM in Nigeria’s capital, Abuja, the Director of DPR, Mr Sarki Auwalu, said that the license signified a major milestone and a reinforcement of the promise and commitment of President Muhammadu Buhari to Nigerians to promote indigenous participation in the oil and gas sector.
He said the move was to ensure that companies come to Nigeria and equitably do business, to stimulate the economy and create jobs for Nigerians, adding that the licence was a demonstration of governments resolve to harness safe and reliable technology for the development of the oil and gas industry.
ABOUT UTM Offshore
It is a part of an indigenous conglomerate actively engaged in diverse sectors of the Nigerian and International markets which includes but without limitation to the Direct Sales and Direct Purchase (DSDP) of the Nigerian Crude Oil – crude-for-products-exchange (swap); an established premium provider in Subsea Engineering, Construction, Ballast Water Treatment Plant, Dredging, Equipment Leasing, Rental, Procurement, Supply and Marine Support, Security & Logistic Services to the ever-expanding clientele comprising Government and private Oil and Gas Companies.
