Nigeria is set to expand its gas export capacity following the European Union’s ban on Russian Liquefied Natural Gas (LNG) imports, which takes effect on January 1, 2027 — a year earlier than planned.
According to a Reuters report, the EU expects to fully replace Russian LNG supplies by 2027 through alternative sources, with Nigeria, the United States, and Qatar among the top beneficiaries.
Nigeria, already a major LNG exporter with customers in Europe and Asia, will see increased demand as global supply chains shift.
Its main producer, Nigeria LNG Limited (NLNG), currently has a capacity of 22 million tonnes per annum (MTPA), which will rise to about 30 MTPA upon completion of the Train 7 expansion project.
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The move follows the EU’s efforts to cut energy dependence on Moscow amid the war in Ukraine. Although the bloc has reduced Russian energy imports by 90% since 2022, it still spent over €11 billion on Russian energy this year.
Analysts project that global LNG capacity will grow by 161 million tonnes per year by 2027, led by expansions in the U.S. (50 MTPA) and Qatar (31 MTPA), ensuring sufficient supply to offset Russia’s 21 million-ton annual contribution to Europe.
Experts also predict that the LNG ban will have minimal impact on global gas prices, as new projects in countries like Nigeria, Canada, and the U.S. will fill the gap.
However, market volatility could arise if Russia faces restrictions in selling LNG to Asian buyers.
