The Nigerian National Petroleum Company (NNPC) Limited, through its subsidiary NNPC Gas Marketing Limited (NGML), has signed a landmark Gas Sale and Purchase Agreement (GSPA) with Dangote Petroleum Refinery and Petrochemicals FZE. The agreement, signed by NGML
NNPC’s Chief Corporate Communications Officer, Olufemi Soneye, hailed the agreement as a testament to NGML’s commitment to excellence and NNPC Ltd.’s mission to ensure Nigeria’s energy stability through strategic partnerships.
Managing Director Barr. Justin Ezeala and Dangote Group President Aliko Dangote at Dangote’s headquarters in Lagos, will provide the refinery in Ibeju-Lekki with 100 million standard cubic feet per day (MMSCF/D) of natural gas for power generation and feedstock.
The supply will consist of a 50 MMSCF/D firm commitment and an additional 50 MMSCF/D as interruptible supply, extending over an initial 10-year period with options for renewal. This partnership aligns with President Bola Ahmed Tinubu’s vision to leverage Nigeria’s gas resources to drive industrial and economic growth, positioning natural gas as a catalyst for industrial revival.
This deal marks a first for NGML and any local gas distribution company, delivering a large-scale investment without capital expenditure (CAPEX) outlay. It represents a milestone in advancing domestic gas utilization, supporting the Dangote Refinery’s operational needs, and reinforcing Nigeria’s energy security.
