AFRICANIGERIA

Dangote Subsidiaries Scale Up Gas Supply Deals With NNPC

Dangote’s refinery, cement and fertiliser units expanded gas agreements with NNPC to support capacity expansion and cleaner energy.

Three major subsidiaries of the Dangote Group have scaled up their gas supply agreements with units of the Nigerian National Petroleum Company (NNPC), a move aimed at securing reliable energy for expanded operations and aligning with Nigeria’s broader energy and industrial strategy.

The enhanced agreements

Gas Sales and Purchase Agreements (GSPAs) were signed between Dangote Petroleum Refinery, Dangote Fertilizer Plant and Dangote Cement Plc and two NNPC subsidiaries: Nigerian Gas Marketing Limited and NNPC Gas Infrastructure Company Limited (NGIC). The deals were formalized in Abuja at the unveiling of Nigeria’s Gas Master Plan 2026, a national framework focused on transforming the country’s gas sector.

According to statements from both sides, the expanded gas supply contracts will play a key role in supporting the Dangote Group’s Vision 2030, underpinning plans to increase production capacity, boost output and improve energy efficiency across its core industrial businesses. They will help ensure the companies have access to the reliable volumes of natural gas needed as their operations grow and evolve.

At the signing event, David Bird, Managing Director and CEO of Dangote Petroleum Refinery, said the agreements were a major step in the refinery’s expansion drive, locking in the energy required to sustain higher levels of production. Arvid Pathak, Group Managing Director of Dangote Cement, added that the deal would help the company meet rising gas demand and support initiatives such as the adoption of compressed natural gas (CNG) for autogas use. Mustapha Matawalle signed on behalf of Dangote Fertiliser FZE, with the agreement expected to support broader fertiliser production, which depends heavily on natural gas.

Officials from NNPC and Nigeria’s government also highlighted the broader context of the deals. Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, described the Gas Master Plan 2026 as a shift from policy formulation to execution, emphasising the need to turn Nigeria’s vast gas resources into reliable supply, strong infrastructure and measurable economic value. Bashir Bayo Ojulari, Group CEO of NNPC Ltd, said the plan positions natural gas as a cornerstone of Nigeria’s energy security, industrialisation and cleaner energy transition.

The master plan aims to increase national gas production from around 8 billion cubic feet per day (bcf/d) towards targets of 10 bcf/d by 2027 and 12 bcf/d by 2030, while attracting more than $60 billion in new investments across the gas value chain. The expanded gas agreements with the Dangote Group are seen as part of this broader strategy to harness domestic gas resources for economic growth and cleaner energy use.

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