The Hungarian Ambassador to Nigeria, Professor Gabor Ternak, says that Hungary is interested in purchasing crude oil and Liquefied Natural Gas (LNG) from Nigeria.Ternak told the Group Managing Director of the Nigerian National Petroleum Corporation (NNPC), Dr. Maikanti Baru, in Abuja during a courtesy visit that the decision to import crude oil and LNG from Nigeria was informed by the need to bridge the current supply gap being experienced in Hungary.
According to a statement by the NNPC’s Group General Manager Public Affairs Division, Ndu Ughamadu, on Thursday in Abuja, Ternak noted that this comes at a time when the international crude oil market is getting more competitive.
“Hungary depends on oil importation to serve its energy needs as the country is non-oil producing. We want to diversify our sources of crude oil and LNG import and we are considering purchasing these products from Nigeria,” Ternak said.
He said that the Nigerian crude oil would be of great help to Hungarian refineries involved in large-scale commercial refining.
The envoy said that Nigeria could also leverage on the bilateral relationship with his country by engaging the services of Hungarian firms that specialize in repairs, maintenance and building of refineries as well as medical services.
According to him, Hungarian universities with many years of oil and gas engineering expertise could assist Nigeria in the areas of capacity building of oil workers.
Responding, Dr. Baru said that the NNPC Corporation had commenced the tendering process for the selection of the 2018 crude oil off-takers, adding that Hungarian companies could utilize the opportunity by participating in the exercise to maximize value from direct purchase, rather than going through a third party.
“If you don’t participate in the tendering process, you would have to buy the products from one of the traders. However, if you participate with companies and refineries that meet our requirements, they could be shortlisted as off-takers,” he said.
He explained that Hungary could purchase LNG through “spot cargo,” an arrangement in which excess production is given to registered off-takers with the Nigerian Liquefied Natural Gas Limited (LNNG).