NNPC Gas Marketing Limited (NGML) has signed a landmark gas supply agreement with Dangote Petroleum Refinery and Petrochemicals FZE aimed at increasing production capacity at the Dangote Refinery. The deal, formalized on Tuesday, is set to provide a steady supply of natural gas for both power generation and as feedstock for refinery operations.
The gas sale and purchase agreement (GSPA) was signed by Justin Ezeala, Managing Director of NGML, and Aliko Dangote, President and CEO of the Dangote Group, at Dangote’s corporate headquarters in Lagos. Under the agreement, NGML, a subsidiary of the Nigerian National Petroleum Corporation (NNPC) Limited, will supply approximately 100 million standard cubic feet (MMSCF) of natural gas per day. This includes 50 MMSCF of firm supply and 50 MMSCF of interruptible supply, with the contract spanning an initial 10-year period and options for renewal and expansion.
In a statement issued on Wednesday, Olufemi Soneye, NNPC’s Chief Corporate Communications Officer, emphasized that the agreement aligns with President Bola Tinubu’s vision to harness Nigeria’s abundant natural gas resources to drive industrial growth and economic development.
“This partnership marks a significant milestone in supporting the operational success of the Dangote Refinery and advancing Nigeria’s domestic gas utilization,” Soneye said. “The agreement underscores the commitment of both companies to enhancing local production and delivering essential products that will benefit Nigerians.”
Soneye also highlighted that the deal reflects NGML’s dedication to business excellence and to fulfilling NNPC Ltd’s core mandate of securing Nigeria’s energy needs through strategic gas initiatives across the country.
The deal is seen as a major step toward strengthening Nigeria’s refining capacity and ensuring a reliable supply of energy to support economic growth.
