LAGOS, Nigeria, Sept. 18 (UPI) -- Nigerian energy group Oando PLC said it would take a stake in a liquefied natural gas project in the Niger Delta from ConocoPhillips for nearly $105 million.
Oando said in a statement published Tuesday it would take on Conoco's 17 percent stake in the Brass liquefied natural gas project by acquiring the U.S.-based energy company's local affiliate Phillips (Brass) Ltd.
Italian energy company Eni and France's Total are working to develop the Brass LNG project in Bayelsa state in southern Nigeria.
Total said the project should have a production capacity of more than 10 million tons of LNG per year. Approximately 70 percent of the LNG from the facility would head to western European markets with the remaining slated for Asian exports.
"Brass LNG will help to monetize the country's gas reserves while also contributing to economic development in an impoverished region of the Niger Delta," Total said.
Nigerian National Petroleum Corp. holds a 49 percent stake in the Brass LNG project. Early engineering work is still under way and no timeline was offered for project development.