Economy
NLNG Attributes Cooking Gas Price Surge to Vessel Scarcity, Forex Fluctuations, and Oil Price Hikes
Nigeria Liquefied Natural Gas Limited (NLNG) has identified vessel scarcity, foreign exchange rate fluctuations, and the surge in global oil prices as the primary factors behind the recent escalation in cooking gas prices.
NLNG, in an official statement, cited the dynamic nature of the domestic Liquified Petroleum Gas (LPG) market, impacted by changes in exchange rates, escalating price benchmarks linked to crude oil, and vessel scarcity induced by the drought in the Panama Canal, leading to increased transport costs.
The company emphasized its role in the remarkable growth of the domestic LPG market, disclosing that despite feed gas supply limitations, NLNG continues to actively participate in LPG deliveries, ensuring a consistent supply of cooking gas to consumers across the country.
NLNG, committing its entire Butane and Propane production to the domestic market from 2023, maintains an unwavering commitment to supplying LPG to the domestic market, collaborating with industry stakeholders to achieve reliable supply at market reflective prices.