PANDEF hails Tinubu’s approval of gas supply deal for Nigeria’s first FLNG project

The Pan Niger Delta Forum (PANDEF) has commended President Bola Ahmed Tinubu for approving a 15-year gas supply framework for UTM Offshore Limited, describing the decision as a major milestone that will accelerate the development of Nigeria’s first Floating Liquefied Natural Gas (FLNG) project and drive industrial growth across the Niger Delta.

In a letter dated August 6, 2026, and signed by its National Chairman, Ambassador (Dr.) Godknows Boladei Igali, the regional socio-political organisation expressed appreciation to the President for granting the indigenous energy company long-term access to gas supply required to develop the pioneering offshore LNG facility.

According to PANDEF, the approval represents a significant step toward unlocking the vast economic potential of the Niger Delta through gas-based industrialisation while strengthening indigenous participation in Nigeria’s energy sector.

“I have the honour to write most respectfully to express the appreciation of the Board and the leadership of PANDEF to you over the granting of 15 years gas supply framework to UTM Offshore Limited, an indigenous company in the Niger Delta, to enable them build our country’s first floating LNG,” the letter stated.

The group noted that the multi-billion-dollar project, expected to be located offshore Akwa Ibom State, has the potential to stimulate economic growth in the Niger Delta and contribute significantly to Nigeria’s broader gas development agenda.

PANDEF described the approval as a landmark decision that would support ongoing efforts to transform the region through industrial development anchored on its abundant gas resources.

“PANDEF considers your approval of this gas supply momentous as it will add significantly to the efforts which are at different levels to bring about the rapid industrialization of the Niger Delta,” the letter read.

The organisation further said the project would usher in a new era of indigenous-led gas development, highlighting the role of Nigerian companies in advancing the country’s energy ambitions.

“As a matter of fact, this will meaningfully launch the entire South-South region and the country into the new era of gas-based development being undertaken completely by indigenous companies, to wit UTM Offshore, Seplat Energy and NNPC,” PANDEF stated.

The forum also described the project as a powerful example of indigenous entrepreneurship, noting that the investment, championed by UTM Offshore Chairman, Dr. Julius Rone, OFR, could encourage more Nigerians to invest in value-added utilisation of the nation’s gas resources.

“As would be expected, the commencement of construction of this giant investment being undertaken by a relatively young person, Dr. Julius Rone, OFR, from the area would be a great inspiration to others to also join the efforts of government in adding value in the beneficiation of the country’s rich gas reserves,” the group said.

PANDEF added that the construction and operation of the FLNG facility would create employment opportunities, stimulate economic activities and attract further investments to the Niger Delta.

Beyond its economic impact, the organisation expressed optimism that the project could contribute to improving living standards in the region by supporting efforts to address high domestic and industrial gas costs while helping to reduce gas flaring.

“Even at the social level, we are hopeful that this project and many like it which will come in the future will help to raise the standard of living of people of the area, by stemming the tide of skyrocketing domestic and industrial gas prices. At another level, this will also help to combat the scourge of gas flaring which has for many decades contributed to pollution in the area,” the letter stated.

PANDEF urged the Federal Government to sustain its support for the project to ensure its successful execution within the proposed timeline.

“It is our hope that the federal government will continue to extend all necessary cooperation to the project team to enable it deliver this endeavour within the stated timelines,” the organisation said.

The group also pledged to mobilise support across the Niger Delta, particularly in Akwa Ibom State, to create an enabling environment for the smooth implementation and long-term success of the project.

“On our part, we take the opportunity to assure Mr. President that PANDEF will be at fulcrum in galvanizing support of the people of the Niger Delta, in particular our people in Akwa Ibom State to ensure that the right environment exist locally for the take-off of the project and throughout its life span.”

PANDEF concluded the letter by offering prayers for President Tinubu’s continued good health and success in office, while expressing confidence that the project would contribute significantly to economic development, job creation and the advancement of Nigeria’s gas economy.

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