Dangote and NNPC Sign Major Gas Deal for Industrial Growth
By Patience Ikpeme
The Dangote Group and the Nigerian National Petroleum Company Limited (NNPC Ltd) have signed a massive agreement to supply more gas to three of Nigeria’s biggest industrial plants.
This deal involves the Dangote Petroleum Refinery, the Dangote Fertiliser Plant, and Dangote Cement Plc, all of which need huge amounts of energy to run their expanding operations.
The signing took place in Abuja at the launch of the NNPC Gas Master Plan 2026. This plan is a roadmap to make sure Nigeria uses its gas resources to grow the economy and provide cleaner energy for everyone.
By signing this agreement, the Dangote Group is making sure it has enough gas to meet its “Vision 2030” goal, which includes producing more goods and using energy that is better for the environment.
Mr. David Bird, the head of the Dangote Petroleum Refinery, explained that this move is a bold step to prepare for even more production at the refinery. He said: “The agreements mark a critical milestone in the expansion drive as well as a proactive measure to lock in vast energy requirements for the anticipated increase in its production capacity.”
For the cement company, the deal is even more important because it helps them move toward using Compressed Natural Gas (CNG) for their trucks and machines. The Group Managing Director of Dangote Cement, Mr. Arvid Pathak, noted that this agreement provides the gas needed to support the use of CNG as “Autogas.” This will help the company produce more cement while using cleaner fuel.
The Fertiliser plant will also benefit greatly because gas is the main material used to make fertiliser. Having a steady supply of gas means the company can expand and produce more to help farmers across the country.
The Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, told the gathering that Nigeria is truly a “gas nation” with some of the largest reserves in Africa. He said the new plan is about moving from just talking to actually doing the work.
According to him: “Today’s launch is not merely the unveiling of a document; it represents a deliberate shift towards a more integrated, commercially driven, and execution-focused gas sector, aligned with Nigeria’s development aspirations. Nigeria is fundamentally a gas Nation.”
The Group Chief Executive Officer of NNPC Ltd, Engr. Bashir Bayo Ojulari, described the Gas Master Plan as a way to turn Nigeria into a global center for gas. He revealed that the government wants to increase gas production to 12 billion cubic feet per day by 2030 and bring in over $60 billion in new investments.
He shared his vision for the sector, saying: “The Plan is structured not just to deliver – but to exceed – the Presidential mandate of increasing national gas production to 10 billion cubic feet per day by 2027 and 12 billion cubic feet per day by 2030, while catalysing over 60 billion dollars in new investments across the oil and gas value chain by 2030.”
This partnership between the government and the private sector is seen as the backbone of Nigeria’s energy security. It aims to make sure there is enough gas for power plants, cooking gas, and factories, which will ultimately help create jobs and stabilize the economy.
