NNPC to raise Chevron-operated GTL plant stake to 60%

Nigerian National Petroleum Corporation NNPC, has said it will increase its stake in a Chevron-operated gas-to-liquid refinery to 60 per cent as part of a cost dispute resolution with the U.S. oil major. The NNPC currently has a 20 per cent stake in the plant some 60 miles southeast of Lagos.

California-based Chevron, which is trying to sell some Nigerian assets in an effort to focus on its fast-growing U.S. production, did not immediately comment. The 33,000 barrel-per-day (bpd) plant, which produces synthetic diesel, liquefied petroleum gas and naphtha from natural gas using technology from South Africa’s Sasol, cost around $10 billion to build, four times the original estimate, and its start-up in mid-2014 was years late.