Nigerian LNG facing ‘war risk’ insurance premiums

The price of LNG from Bonny Island could be pushed up by high insurance charges as a result of militant attacks in the region The price of LNG from Bonny Island could be pushed up by high insurance charges as a result of militant attacks in the region.
By Miriam Malek 4 May 2017 0 25748
An LNG carrier off Nigeria. The price of cargoes from the country could be subject to high charges. (NLNG)

Ongoing violence in the Niger Delta means vessels loading or delivering oil and gas at some Nigerian ports are required to pay ‘war risk’ insurance premiums, a Lagos-based lawyer told Interfax Natural Gas Daily.

The premiums are likely to affect the Bonny Island LNG plant and any vessels travelling to or from it, said the source, who wished to remain anonymous. The 22 mtpa liquefaction facility is on the outskirts of the delta.

Two LNG traders interviewed by Interfax Natural Gas Daily said such a premium on...

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