NNPCL announces Establishment of Five Mini-LNG Plants in Ajaokuta, to Boost Local Content

The Nigerian National Petroleum Company Limited (NNPC) has announced plans to establish five mini-liquefied natural gas (LNG) plants in Ajaokuta Local Government Area, Kogi State, by 2025.
The announcement was made by Senator Natasha Akpoti-Uduaghan, Chairman of the Senate Committee on Local Content, during the 13th Annual Practical Nigerian Content (PNC) forum.

Describing the project as a historic milestone, Senator Akpoti-Uduaghan noted that this initiative represents the largest concentration of LNG plants in a single district in Nigeria.
She emphasized that the plants would serve as a cornerstone for advancing Nigeria’s local content agenda while boosting economic growth and innovation in the region.
“This is not just good news for Kogi but a significant step for Nigeria. Five mini LNG plants in one district are unprecedented and position Ajaokuta as a critical hub for technological and industrial advancements,” she stated.
The senator used the occasion to call for a redefinition of Nigerian content beyond traditional capacity building in the Oil and Gas sector.
She proposed a comprehensive framework for national development focused on innovation, sustainability, collaboration, and global competitiveness.

“For decades, Nigerian content has been synonymous with developing local capacity in the Oil and Gas sector. While this has laid a solid foundation, we must now look beyond and embrace a broader vision that creates value, fosters self-reliance, and establishes Nigeria’s legacy on the global stage,” she said.
Senator Akpoti-Uduaghan outlined a strategic approach to national transformation, centered on four pillars:
Extending Nigerian content policies to sectors like ICT, renewable energy, and healthcare.
Providing incentives for local firms to innovate and adopt sustainable practices.
Utilizing technology for real-time monitoring of compliance with local content laws.
Establishing industrial clusters, such as Ajaokuta’s proposed technology hub, to integrate research, manufacturing, and exports.
Facilitating access to advanced technologies for local enterprises to enhance global competitiveness.
Encouraging local processing of raw materials, such as refining crude oil domestically and producing petrochemicals.
Incentivizing Nigerian firms to provide high-value services like engineering and consultancy.
Supporting local enterprises in accessing international markets and reducing export bottlenecks.

Leveraging the African Continental Free Trade Area (AfCFTA) to strengthen Nigeria’s position as a regional leader in trade.

Ajaokuta as a Technological Hub

Highlighting the economic potential of Ajaokuta, the senator noted that the district could become a center for innovation and manufacturing, particularly in the production of essential industrial equipment like rigs.

“For every deep-water operation, rigs are indispensable, and the cheapest rig costs about $10 million. Imagine the impact if we manufactured these rigs locally, using steel produced in Ajaokuta. This would save the country billions and create thousands of jobs,” she explained.

Learning from Global Examples

Senator Akpoti-Uduaghan referenced countries like Malaysia, South Korea, and Brazil, which have successfully used localized content to drive national transformation. She pointed to Malaysia’s PETRONAS and South Korea’s Hyundai as examples Nigeria could emulate.

“Nigeria has the resources and talent to achieve similar success. What we need is the will to act decisively and the strategic vision to implement transformative policies,” she said.

A Call for Sustainability and Inclusivity

The senator underscored the importance of Environmental, Social, and Governance (ESG) principles in redefining Nigerian content, advocating for green technologies, social inclusivity, and ethical practices.

“Our journey to redefine Nigerian content must prioritize sustainability, ensuring that the wealth we create today benefits future generations. By empowering women, youth, and marginalized communities, we can achieve a more inclusive economy,” she added.

A Path to Global Relevance

With the establishment of the LNG plants in Ajaokuta and a broader push to redefine local content, Senator Akpoti-Uduaghan expressed optimism about Nigeria’s potential to lead in global markets.

“This is not just about compliance but about building a legacy of innovation, competitiveness, and sustainability. Together, we can create a Nigeria where industries lead globally, youths innovate for the future, and resources generate long-term wealth,” she concluded.