President Bola Tinubu‘s government recently entered into agreements with ten companies for the establishment of gas processing plants and additional gas supply infrastructures.
Naijaonpoint reports that these joint venture investment agreements were formalised in Abuja between the Midstream and Downstream Infrastructure Fund (MDIF) and the ten promoters of gas infrastructure.
The agreements encompass the Joint Venture and Operating Agreement, the Joint Venture Equity Agreement, and the Joint Venture Accounts Agreement.
Among the companies participating in these agreements are Ant Energy Limited, Sub Sea 9 Gas, Waterdance International Concepts, and LNG Arete.
During the event, the Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, remarked that these agreements are part of the government’s initiative to fully realise the potential of the gas sector.
Ekpo emphasised that the agreements not only demonstrate the alignment of national priorities with actionable steps but also reflect a strong commitment to promoting growth, improving energy security, and establishing a resilient economy for future generations.
He revealed that in the first year of this administration, the MDGIF has supported six companies in the midstream and downstream sectors, fostering innovation and efficiency in the processing, distribution, and utilisation of natural gas.
“This Fund, and the partnerships it fosters, will pave the way for integrated gas infrastructure, bridging gaps that have long hindered progress. These advancements will not only connect regions but also create a ripple effect of opportunities across industries. From agriculture to manufacturing, and even digital innovation, the impact of a robust gas sector reverberates far beyond energy,” he stated.
Breaking down the projects encompassed by the agreements, Executive Director of MDIF, Oluwole Adama, enumerated six gas processing plants aimed at producing marketable natural gas in liquefied or alternative forms to enhance in-country supply capacity; three compressed natural gas refueling infrastructures to promote domestic utilization of natural gas for transportation and other industrial applications, and one bulk liquefied petroleum gas storage facility to alleviate supply chain constraints.
In a related initiative, the Federal Government launched the CNG sprout project on Thursday, which will establish CNG conversion and refuelling infrastructures in 20 universities nationwide.
During the project launch in Abuja, the Minister of State for Petroleum Resources (Gas), Ekperikpe Ekpo, stated that this initiative is part of the government’s efforts to offer a more affordable mode of transportation for students and staff at the universities.
This project, which is also financed by MDIF, will supply CNG-powered buses and tricycles for the transportation of students.
“The MDGIF has remained a steadfast partner in the actualisation of Nigeria’s Decade of Gas vision, providing catalytic funding and support to infrastructure projects that directly benefit the Nigerian people. I applaud the MDGIF for their strategic role in this initiative and for helping to deliver impact where it matters most,” Ekpo stated.