Ogun and NNPC revive coastal LNG plan amid $10bn development drive
Renewed talks between Ogun State and NNPC are placing the long-delayed Olokola LNG project within a proposed coastal corridor combining energy, ports, logistics and manufacturing. The wider plan includes a deep-sea port and special economic zone, with projected initial investment of $10 billion and more than 50,000 direct jobs.
The Ogun State Government and the Nigerian National Petroleum Company Limited have renewed discussions on reviving the long-delayed Olokola Liquefied Natural Gas project along the state’s coastline. The talks follow Ogun’s agreements with DP World on a Gateway Deep Sea Port and a 10,000-hectare Blue Marine Special Economic Zone. The state says the combined projects could attract an initial $10 billion and create more than 50,000 direct jobs.
Governor Dapo Abiodun said the LNG facility could provide an energy base for industries expected to develop around the port and economic zone. He described the project as a possible source of energy for businesses and communities in Ogun and the wider South-West. The OGLNG proposal has remained on the drawing board for more than 30 years.
Abiodun said current discussions were examining land acquisition, incentives and other conditions needed to move it forward, adding that Ogun was prepared to cooperate with NNPC and provide guarantees. NNPC Group Chief Financial Officer Adedapo Segun said the company was reviewing the problems that had previously stalled the project and working towards solutions. NNPC Executive Vice President for Gas, Power and New Energy Lekan Ogunleye said the development would require about 1,728 hectares for plants, utilities, storage and related infrastructure.
Ogunleye also said the project would need roughly 2.5 kilometres of Atlantic frontage and up to three LNG jetties. The scale of those requirements reflects the size of the proposed development and its planned connection to marine transport and industrial activity. The emerging plan envisages the port handling raw materials, equipment and finished goods, while the special economic zone would accommodate manufacturing, processing, logistics and export-oriented businesses.
The Presidency has linked the corridor to OGLNG and wider coastal infrastructure, including the planned Ogun section of the Lagos-Calabar Coastal Highway.
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