Nigeria threatens to halt energy firms' LNG schemes

ABUJA, Sept 25 (Reuters) - Nigeria could suspend the liquefied natural gas (LNG) projects of foreign energy firms unless they submit a detailed plan by the end of October to supply gas for domestic power generation, the gas minister said.

Nigeria's power crisis is one of the biggest brakes on growth in Africa's most populous nation. President Umaru Yar'Adua's administration has repeatedly warned that it could penalise energy firms if they do not meet domestic requirements.

"Federal government's policy and regulations on gas supply to the domestic market are not up for discussions or negotiations any more," Gas Minister Emmanuel Odusina was quoted as saying in a statement by state-run oil firm NNPC on Thursday.

"The minister warned that if by the end of October 2008 there is no evidence of cooperation, the government will have no choice but to consider further measures it deems necessary, including but not limited to putting a stop or suspension of all LNG projects targeting export of gas," the statement said.

Nigeria's largest LNG export plant, located on Bonny Island in the southern Niger Delta, is controlled by a group of Western companies -- Royal Dutch Shell (RDSa.L), Total (TOTF.PA) and Eni unit Agip (ENI.MI). NNPC owns 49 percent.

A number of other LNG projects are on the drawing board, involving mainly Western energy firms. (For full Reuters Africa coverage and to have your say on the top issues, visit: africa.reuters.com/ ) (Reporting by Camillus Eboh; Writing by Nick Tattersall, editing by Anthony Barker)