Nigeria LNG Limited (NLNG) has called on gas producers to treat methane reduction as a commercial priority, arguing that cutting methane leaks can recover lost gas, increase revenue and improve operational efficiency while reducing emissions.
NLNG Managing Director and Chief Executive Officer, Adeleye Falade, made the call at Gastech 2026 in Bangkok during a panel discussion titled, “Capturing the Lost Opportunity: Driving Global Alignment on Methane Abatement Across Natural Gas Supply Chains.”
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Falade said the gas industry should move away from viewing methane abatement primarily as an environmental cost and instead recognise it as an opportunity to recover valuable gas that would otherwise be lost.
He said NLNG’s experience showed that investments in methane reduction could generate commercial returns while improving the environmental performance of gas facilities.
“Every tonne emitted is lost product, lost revenue and lost energy; gas we could have sold. Every molecule of methane avoided is both an emissions reduction and a recovered energy resource,” Falade said.
Methane Abatement as a Business Investment
According to Falade, NLNG’s approach begins with accurately measuring methane losses and using the data to determine where investment in leak prevention and gas recovery can deliver the greatest returns.
He cited the company’s boil-off gas compressor and start-up gas recovery project as examples of initiatives designed to combine emissions reduction with commercial value.
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Each project is expected to deliver methane reductions of approximately 10–15 per cent, while also recording positive projected net present values, meaning their anticipated financial benefits are expected to exceed their costs over their operating lives.
“The most compelling business case is the simplest one: the projects that cut our methane also pay for themselves,” Falade said.
He added that the benefits extended beyond emissions performance, with methane-reduction projects also contributing to asset reliability and plant efficiency.
Measurement at the Centre of Methane Strategy
Falade said credible measurement was essential to making methane reduction commercially effective.
Accurate measurement, he explained, enables operators to identify where gas is being lost, direct capital towards the most effective interventions and verify whether those investments are delivering the expected results.
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He said NLNG had demonstrated that producers in developing economies could establish internationally credible emissions-reporting systems by investing in monitoring technology, strengthening reporting capabilities and subjecting their data to independent verification.
NLNG has received Gold Standard recognition under the Oil and Gas Methane Partnership (OGMP) 2.0, with Falade noting that the company was the first in Africa to achieve Level 5 methane emissions reporting.
Its measurement, reporting and verification system is independently assured by DNV in accordance with ISO 14064, he said.
The company’s methane-management programme includes site-wide optical gas imaging, a structured Leak Detection and Repair (LDAR) programme, and phased deployment of continuous monitoring systems and real-time dashboards across its plant and vessels.
Falade said the experience demonstrated that credible methane measurement was not determined by geography but by the level of commitment and investment.
Methane Reduction Incorporated Into Train 7
The company is also incorporating methane-reduction measures into the design of its Train 7 project, which is expected to increase NLNG’s LNG production capacity from 22 million tonnes per annum to 30 million tonnes per annum.
Falade said NLNG had not waited for perfect infrastructure before beginning its methane-management programme.
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Instead, the company prioritised credible measurement, invested in appropriate monitoring technology and strengthened its reporting through independent verification.
He urged gas producers in emerging markets to adopt internationally comparable standards rather than accept lower expectations because of infrastructure or development constraints.
NLNG Links Gas Flare Reduction to Commercial Value
At the national level, Falade pointed to NLNG’s long-standing role in monetising gas that might otherwise have been flared.
He said the company’s activities had contributed to Nigeria’s reduction in gas flaring, with the country’s flaring rate falling from more than 65 per cent to below 20 per cent.
He described the conversion of previously wasted gas into LNG and other marketable products as an early demonstration of the commercial value of emissions reduction.
The broader methane challenge, however, extends beyond individual processing facilities.
Falade said methane intensity was increasingly becoming relevant to procurement decisions, project financing and buyer confidence, making emissions performance an increasingly important consideration across the gas value chain.
NLNG Extends Methane Focus to Suppliers
NLNG is seeking to extend its emissions-management framework to its wider supply chain through its Scope 3 Advocacy Plan.
Under the initiative, the company engages feed-gas suppliers and contractors on measuring, reporting and reducing emissions.
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NLNG also obtains verified upstream emissions data from its feed-gas producers and incorporates environmental, social and governance considerations, alongside emissions performance, into supplier selection and evaluation.
Falade said this approach was becoming increasingly important as LNG buyers, financiers and other stakeholders demanded greater visibility into emissions across the full natural gas supply chain.
Call for Harmonised Methane Rules
Falade also called for greater consistency in methane regulations and reporting requirements across countries.
He said differences in measurement methodologies and disclosure requirements could make enforcement uneven and limit meaningful comparisons between gas producers and projects.
“The industry does not need weaker standards; it needs stronger, shared ones backed by real measurement,” he said.
He argued that internationally consistent standards would provide greater certainty for producers, buyers, regulators and investors while improving the credibility of reported emissions data.
Energy Access and Climate Goals Must Move Together
On the tension between climate objectives, energy access and affordability, Falade said emissions reduction should not come at the expense of the energy needs of developing economies.
He said NLNG’s operations support Nigeria’s targets of achieving net-zero emissions by 2060 and zero routine gas flaring by 2030, while recognising the need to expand reliable and affordable energy supplies for households and businesses.
“Developing economies cannot be asked to choose between economic development and emissions reduction. Both must progress together,” he said.
Falade said NLNG’s strategy was built around three principles: measure gas losses accurately, invest in recovering commercially valuable gas and apply credible emissions standards throughout the value chain.
The panel also featured Zubin Bamji of the World Bank, Niels Dijksman of Brunei LNG and Hiroyuki Mori of JOGMEC. The session was moderated by energy economist Dr Carole Nakhle of Crystol Energy.
