The European Union has reiterated its commitment to partner with Nigeria in the energy sector.
The Deputy Director-General (Energy), European Commission, Mr. Matthew Baldwin, who is on a visit to Nigeria, stated this in Abuja in a press briefing to apprise the media of the outcomes of his visit and other issues around the EU’s partnership with Nigeria in the oil and gas sector.
Mr. Baldwin said due to the ongoing Russia Ukraine war Europe is looking for other sources of gas supplies.
According to Mr. Baldwin, “Europe is in a tight spot in relation to gas following the Russian invasion of Ukraine and instability in our gas market, the threat perhaps to cut off supply altogether.”
“Following gas cuts by Russia, the European Union is looking to Nigeria as an alternative to augment its gas needs.”
Mr. Baldwin said the EU is looking to increase Liquefied Natural Gas (LNG) imports from Nigeria to above the current levels.
Nigeria currently supplies 14 percent of the EU’s gas imports, while 60 percent of the entire shipments of LNG from Nigeria go to Europe, he said.
“We want to expand what is currently at 14 percent share of total LNG import from Nigeria, we want that to go up,” he said.
“If we can get up to beyond 80%, at that point, there might be additional LNG that could be available for spot cargoes to come to Europe.
“They (Nigerian officials) said to us, ‘Come and talk to us again at the end of August because we think we can deliver real progress on this,” Baldwin said.
Fascinating trip to Nigeria. Huge potential to replace the Russian gas in our pipes + determined to root out the oil theft that causes major environmental damage. AND Nigeria is committed to their energy transition plan with EU support. Very encouraging ! Hope to be back soon. https://t.co/QVNuYNCx7i
— Matthew BALDWIN (@BaldwinMatthew_) July 22, 2022
Mr. Baldwin said that the gas relationship between Nigeria and the EU comes with extraordinary potential with the latter determined to deliver on them.
The EU earlier this week launched a gas demand reduction plan, which encourages EU member states to reduce demand by 15 percent.
“Gas is a vital transition fuel that we will need in the European Union in our pipes all the way through 2045 and beyond… there are ways we could work with you to improve the cleanliness of that gas through technologies,” according to Mr. Baldwin.
He added that the EU wants to expand their short-term deliveries from Nigeria LNG “but at the moment, the capacity, the utilization rate of Nigeria LNG is too low.”
Mr. Baldwin said the focus for this week is to see if the commission could look at ways of working with the Nigerian National Petroleum Company Limited.
He disclosed that his mission to Nigeria is one of fact-finding, adding that the EU will help Nigeria deliver on its ambitious energy transition plan.
Due to the ongoing Russia Ukraine war, European Union is engaging new partners around the world to meet its gas needs.
The war has led to high prices of oil and gas in the European Union which has hampered sustainable deliveries of energy to the bloc.
The EU is heavily dependent on Russia for its oil and gas. In 2021, two-fifths of its gas supply came from Russia.
Also Read: Russia-Ukraine War: Nigeria to Fill Gas Gaps in Europe
Zainab Sa’id
