Business News of Monday, 2 February 2026

Source: www.dailytrust.com

Dangote, NNPC ink gas agreements to boost output

Three subsidiaries of Dangote Industries Limited, Dangote Petroleum Refinery, Dangote Fertiliser Plant and Dangote Cement Plc have sealed Gas Sales and Purchase Agreements (GSPA) with subsidiaries of the Nigerian National Petroleum Company Limited (NNPC Ltd): Nigerian Gas Marketing Limited and NNPC Gas Infrastructure Company Limited (NGIC).

The agreements will help to drive the conglomerate’s Vision 2030, resulting in increased output, better and cleaner energy supply as well as support ongoing expansion projects.

The Chief Executive Officer of Dangote Petroleum Refinery, David Bird, speaking at the signing ceremony, in Abuja stated that the agreement demonstrates the refinery’s bold steps to expand its capacity.

He explained that 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.

The Group Managing Director of Dangote Cement Plc, Mr. Arvid Pathak, said the agreement signing serves as an enabler of his company’s strategic objectives.
He also said the agreement guarantees the gas required to support the drive towards CNG adoption as Autogas and to meet the increasing gas demand as production capacities in Nigeria are expanded.

Mr. Mustapha Matawalle, who signed on behalf of Dangote Fertiliser FZE, said the agreement will support the company’s fertiliser capacity expansion projects, given that fertiliser is a product of natural gas.

At the event, the Minister of State for Petroleum Resources (Gas), Rt. Hon. Ekperikpe Ekpo, described the Gas Master Plan as a deliberate pivot from policy articulation to disciplined execution, anchored on commercial viability and integrated sector-wide coordination.

He said: “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. With one of the largest proven gas reserves in Africa, our challenge has never been potential, but translation: translating resources into reliable supply, infrastructure into value, and policy into measurable outcomes for our economy and our people. The Gas Master Plan speaks directly to this challenge.”

The Group Chief Executive Officer, NNPC Ltd, Engr. Bashir Bayo Ojulari, described the NNPC Gas Master Plan 2026 as a bold, effective execution-anchored roadmap designed to unlock Nigeria’s immense gas potential and elevate the country into a globally competitive gas hub.

He noted that with about 210 trillion cubic feet (Tcf) of proven gas reserves and an upside potential of up to 600 Tcf, Nigeria possesses one of the most consequential hydrocarbon basins in the world; one reinforced by the Petroleum Industry Act (PIA) and the Federal Government’s gas-centric energy transition agenda.