Dangote, NNPC sign gas supply deals

Dangote Industries Limited and the Nigerian National Petroleum Company Limited have sealed expanded gas supply agreements to meet the growing energy needs of Dangote’s refinery, fertiliser and cement operations as the conglomerate ramps up capacity across its businesses.

Under the deal, three Dangote subsidiaries — Dangote Petroleum Refinery, Dangote Fertiliser Plant and Dangote Cement Plc — scaled up their Gas Sales and Purchase Agreements with NNPC subsidiaries, Nigerian Gas Marketing Limited and NNPC Gas Infrastructure Company Limited.

The agreements were signed in Abuja during the unveiling of the NNPC Gas Master Plan 2026, a roadmap aimed at strengthening Nigeria’s gas infrastructure and boosting domestic utilisation.

The new supply arrangements are expected to support Dangote’s Vision 2030 expansion strategy by ensuring reliable gas availability, improving energy efficiency and promoting cleaner fuel alternatives across its industrial operations.

Speaking at the signing, the Chief Executive Officer of Dangote Petroleum Refinery, David Bird, said the agreement represents a major step in securing the energy needed to increase refining capacity and sustain higher production levels.

According to him, the deal is a proactive move to guarantee stable gas supply as the refinery expands.

Similarly, company officials noted that the agreement would help drive adoption of compressed natural gas as autogas and meet rising energy demand from increased industrial output.

Dangote Fertiliser is also expected to benefit, given that natural gas is a key feedstock in fertiliser production, while Dangote Cement will rely on gas to improve efficiency and reduce emissions.

Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, described the Gas Master Plan as a shift from policy formulation to practical implementation, anchored on commercial viability and coordinated sector-wide execution.

He said the initiative aligns with Nigeria’s ambition to fully harness its vast gas resources for economic growth and industrialisation.

“Nigeria is fundamentally a gas nation. Our challenge has been translating resources into reliable supply and measurable economic outcomes. The Gas Master Plan addresses this directly,” Ekpo said.

He added that the plan prioritises supply reliability, infrastructure expansion and strategic partnerships, in line with the Federal Government’s Decade of Gas initiative.

NNPC Group Chief Executive Officer, Bashir Ojulari, said the Gas Master Plan 2026 is designed to unlock Nigeria’s gas potential and position the country as a globally competitive gas hub.

He noted that Nigeria holds about 210 trillion cubic feet of proven gas reserves, with potential growth to 600 trillion cubic feet, describing it as one of the world’s most significant hydrocarbon basins.

Ojulari said the plan targets increasing national gas production to 10 billion cubic feet per day by 2027 and 12 billion cubic feet per day by 2030, while attracting over $60 billion in investments across the oil and gas value chain.

He added that the strategy focuses on cost optimisation, operational efficiency and expanding gas supply for power generation, CNG, LPG, Mini-LNG and key industrial users.