In a strategic move to strengthen its footprint in Nigeria’s gas marketing and distribution value chain, the NNPC Gas Marketing Limited (NGML) has signed a Natural Gas Sale and Purchase Agreement (GSPA) with CCETC Suk Power Limited, enabling the delivery of up to 44 MMscf/d of natural gas.
The agreement, which is in addition to the existing Gas Supply Agreement executed with GasHub Nigeria Limited, is designed to enhance power generation and support LNG production capacity.
The signing ceremony took place on the auspices of the Ajaokuta-Kaduna-Kano (AKK) Gas Pipeline Business Development Forum in Abuja on Thursday.
The development not only reaffirms NGML’s resolve to expand access to gas for power and industrial use, but it also aligns with the Federal Government’s drive towards a gas-based economy, advancing domestic energy utilisation and fostering national growth through cleaner, more reliable energy solutions.
Themed “AKK Pipeline Progress Update & Opportunities Engagement,” the Forum is a critical platform for deepening collaboration as NNPC Ltd. advances the AKK Gas Pipeline Project, an initiative that holds immense promise for energising industries, powering homes and catalysing economic development across Nigeria.
The NNPCL Group Chief Executive Officer, Bayo Ojulari had at the event described the gas pipeline project as a strategic economic catalyst for Nigeria, that would reshape the landscape through power generation and industrial growth.
“The pipeline will supply up to 2.2 billion standard cubic feet of gas a day. Foil in power plants in Abuja, Kaduna, Kano, and others. This will revive industries, especially in the Northern Nigeria, where I grew up.”
He disclosed that over 1,900 skilled and semi-skilled Nigerians have already been employed directly on the project, adding that “Thousands more will be employed once the pipeline becomes operational due to economic spin-offs that will occur all across the sectors.
Ojulari said, “The AKK pipeline supports Nigeria’s decade of gas initiatives aimed at reducing reliance on oil and expanding gas-based industries. It enhances energy equality by extending gas infrastructure to the northern region, which have historically lagged behind in access to energy.
“Transportation and Agriculture, the pipeline with deepened compressed natural gas adoption for transport, lowering fuel costs and emissions. Transportation of food from the north to other regions of the country and sub-Saharan Africa.”