NLNG Makes First Shipment from NLNGPlus Project

The first liquefied natural gas (LNG) cargo from Nigeria LNG's Train 4 left Bonny Island on Saturday January 7th bound for the Lake Charles Terminal in the United States. The shipment marks the beginning of the Initial Supply Period (ISP) to Trains 4 & 5 buyers: BG, ENI, Iberdrola, Shell, Total and Transgas. Together, Trains 4 & 5 form the NLNGPlus Project, which will supply LNG to European and North American destinations.

NLNG's Train 4 produced its first LNG in fourth quarter 2005 and Train 5 is currently being prepared for start up. These two trains will increase the company's LNG production capacity to over 17 million metric tons per annum (MTPA).

Dr. Chris Haynes, Managing Director, Nigeria LNG Limited, says the company's long-term contracts to supply LNG to the Lake Charles terminal as well as other terminals in the USA and Europe establishes NLNG's position as the foremost LNG player in the Atlantic market. NLNG, he added, will be shipping over 14 MTPA of LNG to Europe and over 8 MPTA of LNG to US markets after Train 6 comes on stream in 2007. Furthermore, he was able to confirm that the Company is actively developing a further expansion of over 8 MTPA's LNG capacity, the NLNGSevenPlus Project, which will also target markets in North America.

NLNG runs an integrated plant at Bonny with the trains sharing common facilities including storage tanks, shipping capacity and loading jetties. The Company also exports LPG and condensate.

Dr. Haynes expressed delight with the progress of the expansion project work and of the continuing efforts to establish the Company's reputation as one of the premier and most reliable suppliers of LNG in the Atlantic Basin.

He said the commencement of supply from NLNGPlus Project signals the Company's readiness and ability to be a premier and reliable LNG producer, underpinned by world-class performance in health, safety and environmental management and, in its partnering fwith the Communities in the Niger Delta, to achieve genuine sustainable development of its host communities.

NLNG is a Nigerian Joint Venture company whose shareholders are the Nigerian National Petroleum Corporation (49%), Shell Gas B.V. (25.6%), Total LNG Nigeria Limited (15%) and ENI International (N.A.) S.a.r.l (10.4%).

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