Dangote Group Signs Gas Supply Deals with NNPC to Power Refinery, Cement, Fertiliser Plants
- Dangote Industries Limited signed gas supply agreements with NNPC for three subsidiaries
- Dangote Refinery, Cement, and Fertiliser expanded gas agreements with NNPC subsidiaries
- The agreements aim to support expansion, cleaner energy use, and higher production capacity
Oluwatobi Odeyinka is a business editor at Legit.ng, covering energy, the money market, technology and macroeconomic trends in Nigeria.
Dangote Industries Limited (DIL) has entered into gas supply agreements with the Nigerian National Petroleum Company (NNPC) Limited to meet the energy needs of three of its key subsidiaries.
According to a statement released on Sunday, the agreements were signed during the unveiling of the NNPC Gas Master Plan (GMP) 2026 at the NNPC Towers in Abuja.
The deals are aimed at supporting Dangote Group’s expanding industrial operations, The Cable reported.
Source: UGC
The company said David Bird, managing director and chief executive officer of Dangote Petroleum Refinery, signed on behalf of the refinery, while Arvind Pathak, group managing director of Dangote Cement Plc, represented the cement business. Mustapha Matawalle signed for Dangote Fertiliser FZE.
Dangote Group explained that the refinery, cement, and fertiliser units expanded their existing gas sales and purchase agreements with NNPC subsidiaries, Nigerian Gas Marketing Limited and NNPC Gas Infrastructure Company Limited (NGIC).
The agreements are expected to support Dangote Group’s Vision 2030 by increasing production capacity, improving access to cleaner energy, and sustaining ongoing and future expansion projects across its operations.
Dangote plants to get more gas supplies
Speaking at the signing ceremony, Bird said the agreements reflect Dangote Refinery’s long-term strategy to expand capacity. He added that securing a reliable gas supply is a critical step toward supporting anticipated increases in production.
Pathak said the agreements would help Dangote Cement meet its strategic objectives by guaranteeing gas supply for higher output and supporting the adoption of compressed natural gas (CNG) as an alternative fuel.
For Dangote Fertiliser, the statement noted that the agreement would support capacity expansion, as natural gas remains a key raw material in fertiliser production.
Source: Twitter
How Gas Master Plan will help Nigeria
At the event, the minister of state for petroleum resources (gas), Ekperikpe Ekpo, described the Gas Master Plan as a move from policy formulation to execution, anchored on commercial viability and coordination across the sector.
Ekpo said the plan’s focus on supply reliability, infrastructure expansion, market flexibility, and partnerships aligns with the federal government’s Decade of Gas initiative, adding that Nigeria’s challenge lies in translating its gas resources into tangible economic outcomes.
Also speaking, NNPC Group Chief Executive Officer, Bayo Ojulari, described NGMP 2026 as an execution-focused roadmap designed to unlock Nigeria’s gas potential and position the country as a competitive global gas hub.
Ojulari said Nigeria has about 210 trillion cubic feet of proven gas reserves, with potential to reach 600 trillion cubic feet, noting that the plan aims to increase gas production to 10 billion cubic feet per day by 2027 and 12 billion cubic feet per day by 2030, while attracting significant investment into the sector.
Dangote Group signs gas supply deals with NNPC to power refinery, cement, fertiliser plants
NMDPRA projects decline in prices of petroleum products
Legit.ng earlier reported that the Nigerian Midstream and Downstream Petroleum Regulatory Authority (NMDPRA) said Nigerians should expect a sustained decline in the prices of petrol, diesel and Liquefied Petroleum Gas (LPG).
The agency made the projection based on improved supply of the products and growing competition in the downstream oil and gas sector.
According to the regulator, market forces are now working more efficiently, creating room for price stability and affordability.
Source: Legit.ng
