May 26, 2024

Gas prices could decrease, if Nigeria, other gas countries release more into global market – German Chancellor Olaf Scholz 

 

Adedokun Theophilus, Abuja

 

German Chancellor Olaf Scholz has expressed interest in investing in natural gas in Nigeria, stating that if more states offered gas on the global market, prices would decrease, which could have an impact on the global gas price.

 

The German Chancellor made this known when he visited President Bola Tinubu at the State House, on Sunday.

 

He said, “If we are successful if there is a better chance of exporting the produced gas, it is then the question for German companies to do their private business.

 

“This will also have an impact on the global gas price, if more states offered gas on the global market, prices would decrease. It is important to use the capacities where they are, and that we diversify production all over the globe,” the German Chancellor said.

 

“There is a willingness to invest, especially in critical minerals.

 

“It is important to use the capacities where they are, and that we diversify production all over the globe,” Scholz told reporters at a joint briefing with Nigerian President Bola Tinubu in the capital Abuja.

 

The German Chancellor also praised Nigeria’s efforts to expand its LNG capacity.

 

He said, “If we are successful if there is a better chance of exporting the produced gas . It is then the question for German companies to do their private business,” said Scholz.

 

Chancellor Olaf Scholz therefore stated that his country is also committed to joint initiatives with Nigeria when it comes to hydrogen.

 

“Together we are driving forward future production and use because hydrogen is the energy source of the future, and we will need a lot – for our economy and the energy transition,” he affirmed.

 

President Tinubu, in his remark during the bilateral discussions, said that Nigeria is ready to encourage investments in gas pipelines.

 

He said that the meeting was a significant step forward in Nigeria-Germany relations, reinforcing the two countries’ shared commitment to mutual growth and prosperity.

 

At the business roundtable with the German Delegation on the sidelines of the visit, President Tinubu further emphasized the potential for collaboration between Nigeria and Germany in various sectors ranging from energy to digital economy, transportation to agriculture, and sustainable development.

 

Tinubu encouraged German businesses to invest in pipelines in Nigeria and also sought investors for Nigeria’s underdeveloped mining sector.