Royal Dutch Shell said that construction at its NLNG Nigerian liquefied natural gas project was on schedule despite a report in the Financial Times saying the project faced delays.

Shell spokeswoman Lisa Givert said the first three trains, or liquefied natural gas (LNG) production units, were operational and that construction of trains 4, 5 and 6 remained on schedule. “We expect that NLNG is well positioned to meet all its contractual commitments to customers in 2006 and beyond,” Givert said.
The FT report suggested the delays, which it did not specify, meant the Shell-led project faced a high risk of not meeting its contractual obligations to supply gas to customers.
The British newspaper said this could cost the world’s third-largest oil company by market value and its project partners more than $1.2 billion.