Nigeria cancels LNG shipments after “vandals” damage pipelines, declares force majeure

Nigeria LNG has cancelled several shipments of liquefied natural gas due to what it described as “vandalism” on gas pipelines had disrupted operations, Bloomberg reports, citing unnamed sources familiar with the matter.

One of the sources said that there could have been as many as 10 cargoes cancelled.

Nigeria LNG has also declared a force majeure on export cargoes. It has cancelled at least two loadings that had been scheduled for January. More LNG cargoes planned to load in February could also be cancelled, the sources claimed.

Nigeria has supplied a considerable amount of LNG to Europe in recent months, following the cutting off of Russian energy supplies. Nigerian LNG accounted for 7% of the European supply of LNG in 2022, according to Bloomberg data.

The double-impact of pipeline vandalism and oil theft in Nigeria, combined with a lack of investment in capacity, has hit Nigeria’s crude oil production.

It is still significantly trailing its OPEC+ quota.