LPG Marketers Caution Consumers against Panic Buying as NLNG Continues Supply

Peter Uzoho

The Nigerian Association of Liquefied Petroleum Gas Marketers (NALPGAM) has cautioned consumers over panic buying of cooking gas as a result of the force majeure declared by Nigeria Liquefied Natural Gas Limited (NLNG) Limited.

The President of the association, Mr. Oladapo Olatunbosun, made the appeal in a statement against the backdrop of NLNG’s last week declaration of force majeure on its 22 million  tons per annum (MTPA) facility due to flood.

Olatunbosun said that cooking gas consumers need not panic about a possible scarcity of the product as a result of the forge majeure

Force majeure is a common clause in contracts, which essentially frees both parties from liability or obligation when an extraordinary event or circumstance beyond the control of the parties,

The circumstances include war, strike, riot, crime, epidemic or sudden legal changes, which prevent one or both parties from fulfilling their obligations under the contact.

The president reiterated that: “Based on information reaching the association, NLNG has not shut down its production facility in Bonny as rumoured.”

He confirmed that the company had on October 20, 2022 shipped a cargo of LPG for the domestic market, adding that the dedicated vessel for shipment of LPG from the NLNG plant in Bonny, ‘Alfred Temile’, arrived Lagos on the aforementioned date to discharge product.

“The public should know that the supply of LPG from NLNG has not stopped. We should not give opportunity for further price hike due to speculated shortage of the product.

“We are already in hard times with the Russian/Ukraine war causing upset in the markets and the scarcity,” he advised.

The president said that NLNG had assured the association that it would keep producing LPG based on the feed-gas it receives from its gas suppliers, adding that production was expected to pick up after the flood recedes.

NLNG had in a statement through its General Manager, External Relations and Sustainable Development, Mr. Andy Odeh urged Nigerians to avoid rushing to fill their gas cylinders as there was enough quantity of LPG to satisfy the market.