The Nigerian National Petroleum Company Limited, has reached a Final Investment Decision (FID) with Axxela Limited to deliver six Compressed Natural Gas mother and service stations plants and stations of 5.2mmscfd capacity each, in selected locations spread across the six geopolitical zones in Nigeria.
The gesture was necessary to maintain energy security and provide more access to CNG by the Nigerian populace.
Mallam Mele Kyari, the GCEO NNPC Limited, disclosed this during the commissioning of 5.2 million standard cubic feet per day (mmscfd) Compressed Natural Gas (CNG) plant in Lagos.
He explained that the move was in addition to NNPC Retail’s phased deployment of CNG in over 100 stations across the country as well as other Joint Venture partnerships on CNG.
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Kyari, disclosed that the commissioning of the NNPC CNG Station in Ilasamaja Lagos was part of NNPC’s efforts to grow domestic gas supply and utilization by deploying gas infrastructure nationwide.
He said the Petroleum Industry Act (PIA) explicitly mandated NNPC to promote domestic gas utilisation, thereby strengthening the company’s resolve to deploy critical gas infrastructure projects across the country.
“NNPC will continue to deliver more strategic projects for the benefit of our country. We shall utilise our gas resources for industrialisation, power generation and economic prosperity for all,” Kyari stated
Babajide Sanwo-Olu, the Lagos State Governor, while speaking, said the establishment of the CNG plant aligns perfectly with his vision for economic development, job creation and industrialisation in the State.
He said in demonstration of its resolve to champion CNG utilisation across Lagos State, the State Government has concluded plans to deploy 2,500 conversion kits and over 2,000 new CNG buses, which will commence operations before the end of the year.
The Ogun State Governor, Dapo Abiodun, represented by the State Commissioner of Environment, Mr. Ola Oresanya said the State is supporting capacity building in CNG conversion to ensure sustainability and promote economic development within the State and beyond.
Engineer Michael Oluwagbemi, the Chief Executive, Presidential CNG Initiative, in his goodwill message, described the plant commissioning as a testament to President Tinubu’s commitment to providing sustainable energy solutions for Nigerians.
The CEO of Axxela, Bolaji Osunsanya thanked all the stakeholders especially the NNPC for its consistent vision towards the delivery of the plant, stressing that his company’s many years of preparation have now met a golden opportunity to deliver cleaner, cheaper energy to Nigerians.
The NNPC CNG Station Ilasamaja is a 5.2MMscf per day capacity station that can serve vehicles and also supply gas to industries and other companies. The Facility has dispensing points for filling cars, buses, trucks and tricycles, utilizing CNG and can fill about 3,700 cars or 600 trucks/buses every day thereby providing a constant supply of CNG.
The state-of- the art CNG plant was built through a partnership between NNPC Gas Marketing Limited (NGML) and Transit Gas Nigeria Limited (An Axxela Company).
