The cover price of Liquefied Petroleum Gas (LPG) also known as cooking gas, may soon spike across various parts of the country as the Nigeria Liquefied Natural Gas (NLNG) Limited declared force majeure on its 22.2 million tons per year Bonny LNG export facility.
Experts have warned that the cost of filling a 12.5kg cylinder of cooking gas in Nigeria may hit N12,000 or more by November, up from N9,800 as of October.
Daily Trust checks indicate that NLNG declared force majeure on its gas supply contracts due to the widespread flood that has disrupted the upstream activities of the gas supply.
The NLNG disclosed the development in a statement by its General Manager, External Relations and Sustainable Development, Mr Andy Odeh, saying a clause known as “force majeure” is frequently found in contracts and, in essence, releases both parties from responsibility or obligation when an extraordinary event or circumstance, such as a war, strike, riot, crime, epidemic, or sudden changes in the law, prevents one or both parties from upholding their end of the bargain.
