Nigeria’s state oil company has signed a deal with Golar NLG to work on potential floating liquefied natural gas project in the gas-rich country.

Africa is a key market for New York-listed Golar’s FLNG solutions, with Nigeria’s huge stranded gas resources in particular offering significant potential, albeit with strict local content requirements.

State-owned NNPC Ltd said that as part of its efforts to deepen Nigeria’s domestic gas utilisation and also boost gas exports, it has signed a memorandum of understanding with Norway-based Golar to build an FLNG vessel in Nigeria.